(Bloomberg) — AMC Leisure Holdings Inc. About $325.5 million by means of the sale of 40 million shares, a transfer it mentioned would tackle the money crunch because the movie business rebounds.
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The providing, which started on September 6, bought shares at a median value of $8.14 per share, the movie show chain mentioned in an announcement on Wednesday. The loss-making firm has been affected by weak field workplace gross sales for the reason that pandemic devastated its business.
“Elevating greater than $325 million in gross proceeds has strengthened our potential to outlive after which thrive,” CEO Adam Aron mentioned within the assertion.
The inventory sale was unpopular with AMC buyers due to its dilutive impact, and its shares are down almost 80% this 12 months. AMC is now higher positioned to learn from the business’s restoration, Arun mentioned. The corporate expects to get a particular enhance from the discharge of Taylor Swift’s live performance movie in October.
The Leawood, Kansas-based firm mentioned the inventory sale may also assist AMC climate ongoing strikes by writers and actors in Hollywood.
“This infusion of capital gives us with the flexibleness to assist us navigate the waters forward and proceed to ship the magic of flicks to our company,” Aaron mentioned.
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