Thursday, July 22, 2004

Hit #20

AMC Entertainment (AEN) today got a buyout offer of $19.5/share from a group of private equity investors, including J. P. Morgan and Apollo Management. This offer is a 39% premium over my purchase price of 14.0 / share in late Feb.
There are a few more such pure cash flow entities out there that must be close to going private. Sarbannes-Oxley has only added to the costs of remaining public for these companies that don't get any respect from ordinary investors or the Street. These are strong businesses in their own rights, except that the growth rates are not impressive.

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