Chinese company Wanda closes purchase of AMC theater chain
September 6, 2012, 11:58 am TWN
NEW YORK -- Chinese conglomerate Wanda says it has closed on the acquisition of AMC Entertainment Holdings, one of the largest movie theater chains in the U.S.
The US$2.6 billion deal is the largest takeover yet of a U.S. company by a Chinese firm. It also makes Wanda the world's largest owner of cinemas.
Dalian Wanda Group Co.'s purchase reflects the global ambitions of cash-rich Chinese companies that are using acquisitions to speed their expansion.
The Beijing-based company said it will invest an additional $500 million in AMC and keep its headquarters in Kansas City, Missouri.
AMC operates 338 cinemas. It's owned by a group of private-equity firms.
Wanda, founded in 1988 and privately owned, operates hotels, department stores, tourism and other businesses. It has 94 theaters in China.