CLARION, Pa. (EYT) — Carmike Cinemas, which has movie theaters in Clarion and DuBois, is one step closer to being owned by a Chinese company.

Tuesday, Carmike shareholders approved a merger agreement with AMC Theatres that is valued at $1.2 billion, according to a story at thewrap.com.

Carmike, based in Columbus, Ga., has 16 theaters in Pennsylvania, including Indiana and Kittanning.

It is not yet known how the local theaters will be affected.

The Carmike acquisition will make AMC the nation’s largest theatrical exhibitor, passing current No. 1 Regal Cinemas. Combined, Odeon and Carmike control more than 5,000 screens, and completing both deals would make AMC parent Dalian Wanda — which also owns China’s biggest theater chain — the first exhibitor to manage more than 10,000 screens worldwide.

Dalian Wanda is owned by Wang Jianlin, one of China’s richest men.

In response to the deal, Richard Berman, executive director of the Center for American Security, criticized U.S. regulators for letting it pass.

“The AMC-Carmike deal is the most blatant example of China’s soft power play, yet the U.S. government has naively allowed Chinese propagandizing to continue unabated,” he said in a statement. “While American law prevents the vertical integration of movie production and distribution, Washington has failed to apply the same measures to the Communist-sponsored Dalian Wanda and its ability to influence the movie industry. The American public should be aware of how the Chinese government is expanding its sphere of influence overseas.”

Eighty-six percent of the shares represented at Tuesday’s special meeting were in favor of the merger. The transaction will remain subject to closing conditions including regulatory approval, which is expected to be completed by the end of 2016 or early 2017.

“We are pleased with the outcome of today’s vote,” said David Passman, Carmike Cinemas’ president and chief executive officer, in a statement. “In addition to providing Carmike stockholders with significant value and the opportunity to participate in the upside potential of a combined AMC-Carmike, this transaction creates an opportunity to deliver an even more compelling movie-going experience to more guests in many more locations across the country.”

As previously announced, Carmike shareholders have the option to receive either $33.06 in cash — a 32 percent premium over the company’s March 3 close price — or 1.0819 shares of AMC’s Class A common stock. Previously, the transaction was valued at $1.1 billion.

The deal was also under scrutiny from the Justice Department, which was investigating AMC over alleged antitrust violations.