⁍ AMC’s move to raise fresh capital comes after ratings agency S&P said earlier this month that the company had just six months of cash reserves.
⁍ Big theater chains, including AMC and Cineworld Group, have reopened many of their locations, but fears of the virus and delays in major releases have kept audiences at bay.
– The H1N1 scare has hit AMC Entertainment hard. The world’s largest theater chain announced today that it plans to sell up to 15 million shares of stock to raise cash, reports Reuters. The move comes after S&P said earlier this month that AMC had just six months of cash reserves. “In the event the Company determines that these sources of liquidity will not be available to it or will not allow it to meet its obligations as they become due, it would likely seek an in-court or out-of-court restructuring of its liabilities,” AMC said in a filing.
Source: https://www.reuters.com/article/us-amc-ent-holdg-bankruptcy/amc-to-raise-fresh-capital-as-liquidity-troubles-deepen-idUSKBN2751GJ