Regal Theaters, The Biggest Movie Chain, Just Got Bigger
egal Theaters, with 540 theaters and 6,880 screens already the country's largest theater chain, is buying the 43 theater/513 screen Hollywood Theaters chain in a deal reportedly worth about $238 million. That figure includes a $157-million assumption of debt. While such acquisitions often result in a drop in the purchasers' stock, Regal was up nearly 2 percent in midday trading today, largely on analysts' reckoning that it had bought Hollywood at a considerable discount. In a note to clients, Eric Wold, an analyst with B. Riley Caris in San Francisco, reaffirmed his buy ranking of Regal stock, saying, Regal is well-positioned to once again generate results above expectations in 2013 driven by its leading industry position on a robust film slate.