AMC, Fighting Bankruptcy, to Offer 50 Million More Shares
(Bloomberg) -- AMC Entertainment Holdings Inc., the world’s largest cinema operator, plans to offer as many as 50 million more shares as it tries to stave off a bankruptcy filing.
The offering adds onto 200 million shares the Leawood, Kansas-based company registered earlier this month, it said in a filing dated Tuesday. AMC warned again in the new document that it might have to seek an in-court or out-of-court restructuring, which could wipe out its equity investors. The company has said it needs to raise $750 million.
Movie-theater owners have been hit hard by the coronavirus pandemic. The superhero sequel “Wonder Woman 1984” had the biggest theatrical opening of the crisis last weekend but generated just $16.7 million at the North American box office. Its studio, AT&T Inc.’s Warner Bros., said only 39% of U.S. cinemas were open, at limited capacity.
AMC shares fell as much as 5.2% to $2.17 in New York trading Wednesday. The stock had fallen for the previous seven trading sessions and is down 70% for the year.
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