AMC Entertainment to seek investor approval for 500 million shares sale, CEO tells CNBC

Business

Cinema operator AMC Entertainment Holdings Inc is seeking shareholder approval to sell 500 million shares to the public, its top boss Adam Aron said in a CNBC interview on Thursday.

The approval would give the board the flexibility to authorize future issuances for a variety of purposes, the company said.

A share sale could help AMC shore up its finances that have been hit by pandemic-related closures and delays in the launch of big movies as well as the growth of online entertainment providers.

AMC said in January that it had raised $917 million since mid-December through equity and debt issues. It raised an additional $304.8 million in the same month through a share sale.

Shares of the world’s largest theater chain were down about 5% in afternoon trading.