Amazon Might Be Interested In Buying AMC Theaters: Report

Amazon might have an interest in buying AMC Theaters according to a new report from The Intersect, a Substack blog run by Hollywood reporter Joe Bel Bruno, who’s previously worked for the Associated Press and the Wall Street Journal.

“Amazon founder Jeff Bezos has dispatched his investment advisors and top entertainment chiefs to explore acquisition plans for embattled theater chain AMC Entertainment, according to multiple senior sources familiar with the discussions,” according to The Intersect.

When reached for comment Tuesday afternoon, Amazon spokesperson Griffin Buch replied over email that, “Amazon doesn’t comment on rumors or speculation.”

AMC currently has roughly 600 theaters around the world though the company has struggled after becoming a so-called meme stock in recent years. AMC’s stock was trading at roughly $34 per share a year ago but was trading at $4.50 this morning. The stock surged to a high of $5.39 on the day before falling back closer to $5 at the time of this writing.

While Amazon may be looking into a purchase of the theater chain, The Intersect is quick to note that nothing has actually happened yet and “there is no certainty that the retail giant will even make an offer.”

AMC, like all movie theater chains, has struggled since the onset of the pandemic, with fewer people going out to see films when they have plenty of entertainment channels streaming at home. Big tentpole films like Top Gun: Maverick and Avatar: The Way of Water can still get people into those theater seats, but smaller films struggle to make an impact.

Amazon has diversified tremendously over the past decade, with a purchase of grocery giant Whole Foods in 2017 that allowed all kinds of integrations with its online retailer brand, including the ability to return Amazon purchases at the grocery store, as just one of many examples. Any potential purchase of AMC would likely try to exploit similar business opportunities, including offers of Amazon Originals and Exclusives in theaters that may have only gotten a home release in the past.

Amazon did not immediately respond to a request for comment Tuesday afternoon. I’ll update this article if I hear back.