AMC Entertainment Announces Share Issuance Plan

AMC Entertainment Holdings Inc. has announced its intention to issue up to 50 million shares of its Class A common stock, each valued at $0.01, in an effort to raise capital. This move comes as the company seeks to bolster its financial position amidst ongoing challenges.

Following the completion of this offering, AMC will have 1,070,547 authorized but unissued Class A shares remaining. This suggests that the company may seek future stockholder approval to authorize additional shares for various purposes, including at-the-market sales, exchanges of notes, private placements, equity grants, and other dilutive issuances.

Market Reaction

In response to this announcement, AMC's stock price experienced a significant drop, falling by 11.15% to $4.63 at 6:58 am ET.