closes deal to buy MGM movie studio

WASHINGTON, March 17 (Reuters) – Inc on Thursday stated it experienced shut its $8.5 billion offer to acquire MGM, combining the fabled moviemaker guiding “Rocky” and James Bond with the on line retailing giant as it appears to be like to draw shoppers by means of much more streaming movie.

In a statement, Amazon explained it would welcome all MGM personnel to the corporation and work with the studio’s leadership, indicating there would not be layoffs. Its choice to shut will come immediately after a deadline passed for the U.S. Federal Trade Fee to problem the offer.

The Seattle-centered retailer introduced the transaction in May 2021, indicating MGM made available a trove of content to attract buyers to its rapid-transport and streaming club Prime, which costs $14.99 for every month in the United States.

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Nearly a 12 months later, Amazon is apparent of regulatory hurdles. The European Commission permitted the offer Tuesday, with no ailments. Similarly, Amazon before knowledgeable the FTC that it had “considerably complied” with requests for facts about the offer. study far more

In accordance to Amazon, MGM’s team will be part of the organization of Mike Hopkins, senior vice president of Prime Online video and Amazon Studios.

Smartphone with Amazon brand is viewed in front of displayed MGM symbol in this illustration taken, Could 26, 2021. REUTERS/Dado Ruvic/Illustration

MGM bolsters Amazon Prime Video’s giving with far more than 4,000 film titles, as effectively as this year’s Oscar-nominated “Licorice Pizza” and a very long record of tv displays that might aid Amazon compete with streaming rivals Netflix and Disney+ (DIS.N).

Hopkins praised MGM’s “wide slate of first films and television shows.”

“We welcome MGM employees, creators, and expertise to Primary Movie and Amazon Studios, and we seem forward to working jointly,” he stated in a statement.

An FTC spokeswoman declined to remark on the specific transaction but pointed out that the company may perhaps problem a offer right after it closes “if it decides that it violates the law.”

The FTC has a broader probe open up into Amazon as element of federal government antitrust investigations started under the Trump administration into the four big tech platforms, including Fb and Google. browse additional

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Reporting by Diane Bartz, Jeffrey Dastin and Dawn Chmielewski
Editing by Nick Zieminski and Jonathan Oatis

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