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AMC Theatres Completes Acquisition of Carmike Cinemas, Some Theaters to be Divested

Posted on Wednesday, December 21, 2016 2:21 PM

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AMC Theatres and Carmike Cinemas logos

The planned acquisition of Carmike Cinemas by rival theater chain AMC Theatres, which was announced in March 2016, has been completed. The news was announced by AMC Theatres via press release earlier today.

According to the announcement, the deal makes AMC the largest exhibitor in the United States, as well as world-wide, with 900 locations, including 661 in the United States.

“AMC now has a larger audience and a bigger stage to introduce our industry-leading innovations including plush power-recliner seats, enhanced food and beverage choices and premium large format screens,” said AMC CEO and President Adam Aron. “We also have expanded AMC’s footprint across greater geography and more diverse demographics, serving most of the largest cities in the U.S. and Europe, along with hundreds of home towns, where guests can have an amazing AMC experience. In the United States, AMC now will enjoy increased benefit from movies that play better on Main Street and movies that play better in major metros, and, of course, from movies that play well in both.”

Owned by Chinese company Wanda Group, AMC will continue to be based in Leawood, Kansas. Carmike will become a wholly-owned entity within AMC.

According to the transition information on AMC's web site, Carmike customers may continue to use Carmike gift cards, loyalty reward points, and Popcorn Buckets. The company plans to change the Carmike web site and introduce AMC amenities over time.

Because AMC and Carmike operated in some similar markets, the Department of Justice got involved to make sure that the deal did not create monopolies in those markets. As a result, AMC will need to divest some theaters in fifteen markets across the United States. That means that the company will choose which theater it wants to keep in each market, and which will be closed or sold. The affected markets and theaters involved are listed below:

Montgomery, Alabama

Destin and Miramar Beach, Florida

Orange Park and Fleming Island, Florida

Cumming, Georgia

Conyers and Lithonia, Georgia

Crestwood and Lansing, Illinois

Bloomington and Normal, Illinois

Pekin, Peoria, and Washington, Illinois

Inver Grove Heights and Oakdale, Minnesota

Coon Rapids, Maple Grove, and Mounds View, Minnesota

Rockaway and Sparta Township, New Jersey

Mountainside, Westfield, and Cranford, New Jersey

Lawton, Oklahoma

Allentown and Center Valley, Pennsylvania

Madison, Wisconsin

Source: AMC Theatres Press Release

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