Cinema merger creates rival for Regal.(AMC Entertainment Inc.)(Loews Cineplex Entertainment Corp.)(Brief Article)

Screen Digest, July, 2005

Two leading US cinema chains have agreed to merge, creating an exhibition giant to rival market leader Regal Entertainment. AMC Entertainment and Loews Cineplex, the second and third largest exhibitors respectively, have agreed a merger deal which is expected to close in the next nine months. The development follows unsuccessful merger talks last year. However, both groups have since been acquired by venture capital firms. In late 2004, AMC was acquired by investment group Marquee Holdings for nearly $2bn, whilst US circuit Loews Cineplex Entertainment was acquired by an investment consortium led by Bain Capital for around $1.5bn.

AMC's investor group will hold a 60 per cent stake in the new chain, which will also be called AMC Entertainment, while the Loews...

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