Chinese company closes buy of AMC theater chain

September 4, 2012 - 3:38 PM

NEW YORK (AP) — 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 $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, Mo.

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.