AMC to sell nine cinemas to Regal to complete Kerasotes acquisition
KANSAS CITY, MO — To comply with a Department of Justice ruling, AMC will divest itself of nine theaters it currently owns in Indianapolis, Chicago, and Denver to the Regal Entertainment Group in exchange for cash and two Regal theaters.
Regal said in a release Monday that it had entered an agreement to acquire theaters in Indiana, Illinois and Colorado from AMC in exchange for cash and two Regal theaters. Terms of the deal were not released, other than that the exchange is expected to close during the second quarter.
On Friday, the Justice Department said it was requiring Kansas City-based AMC to divest itself of the theaters as a condition for approving the $275 million acquisition of Kerasotes. Department officials said the purchase would decrease movie theater competition in Chicago, Denver and Indianapolis, leading to higher ticket prices.
The full story is in Biz Journals.