AMC Entertainment Holdings Inc. has proposed to acquire rival Carmike Cinemas in a cash deal worth $1.1 billion. The deal would make Asia's richest man Wang Jianlin the biggest theater operator across the United States.

The Dalian Wanda Group chairman agreed to buy Carmike's stake at $30 per share, as well as the assumption of Carmike's existing debts. Carmike's buyout price is almost 20 percent higher than the company's closing stock rate at $25.11 on Nasdaq.

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The deal will crown AMC the biggest movie theater operator in the world, enhancing Wang's goal to play a powerful role in the entertainment industry.

Wang has reportedly been in talks with several film companies. According to BBC, although the deal was not revealed, Wang was allegedly in negotiations with DreamWorks Animation in 2015.

The Carmike deal comes just two months after the Chinese company revealed that it would purchase American studio Legendary Entertainment, the firm behind movie hits like The Hangover, Pacific Rim and Inception, for $3.5 billion.

In recent years, giant movie theatre chains like AMC have heavily invested in renovating cinemas by installing reclining seats and setting up digital equipment. AMC is anticipated to also refurbish Carmike's theaters. Furthermore, the deal will allow AMC to penetrate smaller towns, rural areas and suburban regions where Carmike is most influential.

AMC Entertainment is operating in more than 380 locations and has almost 5,500 screens. Carmike, on the other hand, is in almost 280 locations and more than 2,900 screens.

TagsAMC, Carmike Cinemas, United States, hollywood, Dalian Wanda Group, wang jianlin