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AMC Entertainment Holdings extended its losing streak to five days on Friday, with its stock closing 2.5% lower at $5.15.
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The stock is currently on its longest losing streak since a seven-day decline that ended on August 29, 2023. The movie theater chain and former meme stock darling closed Thursday’s trading at a then-low $5.30. AMC was the top trending symbol on Stocktwits, a social platform for investors and traders, at the start of trading on Friday.
The stock’s previous closing low was $6.07 on December 21, 2023, according to Dow Jones Market Data, citing available information dating back to December 18, 2013.
Related: AMC closes at record low again, extending losing streak to 4 days
The decline in AMC’s stock price is a far cry from the heyday of the meme stock, which hit a record high of $339.05 on June 2, 2021.
AMC said in a regulatory filing Tuesday that the company will issue approximately 3.26 million shares of Class A common stock between Dec. 28 and Dec. 29, 2023, in exchange for $22.5 million in debt. It said it had entered into a series of private exchange agreements. AMC said the implied value of the issued common stock was $6.94 per share. “While the company may enter into similar transactions in the future, it is under no obligation to do so,” AMC said in the filing.
The move is AMC’s latest attempt to address its debt burden, which reached more than $5 billion in 2022. In the same year, AMC began paying a special dividend on APE and completed the conversion and reversal of APE into AMC common stock in 2023. The common stock will be split at a ratio of 1 out of 10 shares.
Related: AMC CEO slams ‘prophets of doom’, says company is ‘blazing a new path’ towards 2024
AMC also completed its latest on-market stock offering in December, raising approximately $350 million. AMC CEO Adam Aron has repeatedly warned that the company faces liquidity challenges.
AMC stock is down 84.8% over the past 12 months, compared to the S&P 500 index’s SPX gain of 20.6%.
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