Cuban buys 9.4% stake in Carmike

NEW YORK -- — Mark Cuban, the billionaire owner of the Dallas Mavericks basketball team and co-owner of the Landmark Theatres cinema chain, has acquired a 9.4% stake in Carmike Cinemas Inc., according to a regulatory filing Monday.

In the Securities and Exchange Commission filing, Cuban reported buying 1.2 million Carmike shares for roughly $2.8 million since mid-October. He said he acquired his stake in Columbus, Ga.-based Carmike for investment purposes.

Cuban, who has been controversial within the National Basketball Assn. -- racking up more than $1 million in fines for his behavior on the court -- has become the target of a civil lawsuit that alleges insider trading. In November, federal regulators accused Cuban of using confidential information to bail out of an investment in search-engine company Mamma.com Inc. in 2004, avoiding about $750,000 in losses. Cuban has denied any wrongdoing.

Cuban co-owns movie theater chain Landmark Theatres with Todd Wagner, who was his co-founder of the pioneering online audio streamer Audionet. The service, later named Broadcast.com, was sold to Yahoo Inc. in 1999.

The Wagner/Cuban Cos. also include distribution company Magnolia Pictures, production company 2929 Productions, and high-definition cable networks HDNet and HDNet Movies.

Carmike shares rose 29 cents to $2.32 on Monday.