Wanda-owned AMC Theatres is to buy Carmike in a deal that would create the biggest exhibitor chain in the world.

AMC Theatres

Observers say the transaction, valued at $1.1bn and expected to finalise by the end of the year, would create an entity that controls more than 600 sites in the US. AMC currently operates 5,426 screens and Carmike 2,954.

As things stands, AMC is the second biggest exhibitor in the US behind Regal Entertainment, and Carmike ranks fourth.

AMX CEO and president Adam Aron will continue in his role.

“This is a compelling transaction that brings together two great companies with strengths to create substantial value for our guests and shareholders,” said Aron.

“Through this transaction, we expect to unlock synergies, sufficient we believe to make the transaction accretive in 2017.”