Proactive Investors - AMC Entertainment Holdings (NYSE:AMC) shares sank for a third day in a row as another wave of equity from the debt-laden cinema chain hit the market.
Earlier this month, AMC said it was issuing more equity to clear $22.5 million of high-yielding bonds and PIK notes.
Since the height of the meme stock frenzy of 2021, when AMC was among a clutch of stocks that soared in a battle between retail investors and hedge funds, its value has slumped by 99%.
That is despite a recovery in box office takings following the end of the pandemic, including record-breaking takings this year from pop icon Taylor Swift’s latest tour that was shown simultaneously in cinemas and distributed by AMC.
The group, which owns the Odeon chains in Europe and the UK, raised $350 million in November, taking fundraises in 2023 to $865 million.
AMC has already reported losses for the first nine months of 2023 were $214 million even with revenues climbing 26% to $2.08 billion. Debt at the end of September was around $4 billion.
Overnight in the US, shares fell 4% to $4.70 valuing the business at $932 million and marking a near 11% fall since the start of the week.