AMC Entertainment Holdings Inc. said March 28 that it closed on its purchase of Nordic Cinema Group Holding AB, the largest theater operator in the Nordic and Baltic countries, further fueling AMC's expansion into Europe.
The 5.76 billion Swedish Kronor ($651.9 million) all-cash transaction brings Nordic Cinema's 68 theaters and 463 screens under AMC Entertainment's umbrella. Going forward, the Stockholm-based theater operator will be a subsidiary of London-based ODEON & UCI Cinemas Group Ltd, which AMC Entertainment acquired in November 2016. In addition to the cash price, AMC also repaid Nordic's indebtedness of about 1.27 billion kronor ($144.3 million) and about €156 million ($168.2 million) as of March 28.
Jan Bernhardsson, Nordic Cinema Group's former president and CEO, has been appointed COO of Odeon Cinemas Group and executive vice president of AMC Europe. AMC expects the deal to result in about $5 million in annual cost synergies.
Following the deal closing, AMC Entertainment operates about 1,000 screens in 15 countries, the company said.
AMC acquired Nordic from European private equity firm Bridgepoint and Swedish media group Bonnier Holding. Citi served as AMC's financial adviser on the deal. Pinsent Masons LLP, Husch Blackwell LLP, Weil Gotshal & Manges LLP, and Lindahl served as its lead legal advisers.