Fulfills U.S. Department of Justice Consent Decree obligation for 2017 - Consistent with the previous AMC announcement to monetize up to $400 million in assets
AMC Entertainment Holdings, Inc. (NYSE: AMC) (“AMC” or “the Company”) announced today it has completed the sale of 2.8 million shares of National CineMedia, Inc. (NASDAQ: NCMI) (“NCM”) common stock to an undisclosed American buyer for approximately $18.2 million, effective September 29, 2017, representing a price of $6.49 per share.
This transaction represents the remaining NCM shares required to be sold in 2017 by AMC under the consent decree with the U.S. Department of Justice (“DOJ”) in connection with AMC’s acquisition of Carmike Cinemas, Inc. in December 2016.
This transaction is consistent with AMC’s previously announced plan to identify approximately $400 million of non-strategic assets that could be monetized over the next 24 months. This NCM share sale represents the fourth significant AMC asset monetization announcement since it announced this plan on August 4, 2017.
Commenting on the NCM stock sale, AMC CEO and President Adam Aron said: “We are pleased to have completed this block sale, which fulfills our obligation to the U.S. Department of Justice to reduce to no more than 15% our ownership stake in National CineMedia by December 20, 2017. Similar to last week’s transaction, this sale will allow us to further enhance our liquidity position, strengthen our balance sheet through deleveraging and execute on our strategic capital allocation plans of buying back AMC shares all the while investing in our future growth through the renovation of our theatres.”
Citigroup Global Markets Inc. served as exclusive financial advisor to AMC on the transaction.
AMC Entertainment Holdings, Inc.
AMC (NYSE: AMC) is the largest movie exhibition company in the U.S., in Europe and throughout the world with approximately 1,000 theatres and 11,000 screens across the globe. AMC has propelled innovation in the exhibition industry by: deploying more plush power-recliner seats; delivering enhanced food and beverage choices; generating greater guest engagement through its loyalty program, web site and smart phone apps; offering premium large format experiences and playing a wide variety of content including the latest Hollywood releases and independent programming. AMC operates among the most productive theatres in the United States’ top markets, having the #1 or #2 market share positions in 22 of the 25 largest metropolitan areas of the United States, including the top three markets (NY, LA, Chicago). Through its Odeon subsidiary AMC operates in 14 European countries and is the # 1 theatre chain in Estonia, Finland, Italy, Latvia, Lithuania, Spain, Sweden and UK & Ireland. For more information, go to www.amctheatres.com.