Cinemark Movie Theater Merger Approved
WASHINGTON (CN) - Cinemark can buy Rave Holdings for $220 million, bringing Cinemark's U.S. movie theater holdings to more than 300, but must sell one theater in each of three states, and a 16-theater chain, the United States said in a settled antitrust complaint.
Cinemark will have to sell one theater each in Kentucky, New Jersey and Texas, and sell Movie Tavern, which is controlled by Cinemark's founder.
The United States and Texas filed the settled complaint against Cinemark Holdings, Rave Holdings and Movie Tavern's corporate parent, Alder Wood Partners, which is owned by Cinemark founder Lee Roy Mitchell and his wife. All are based in Dallas.
Before the merger, Cinemark owned 298 theaters with 3,916 screens in 39 states. It's the third-largest U.S. movie chain by box office.
Rave, the seventh-largest, has 35 theaters with 518 screens in 12 states.
Alder Wood/Movie Tavern owns 16 theaters with 130 screen in seven states.