Shares of meme-mania favorite AMC Entertainment (NYSE:AMC) are tanking today after it announced multiple financial maneuvers.
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AMC is now raising $110 million by selling APE units to Antara Capital. According to the deal, Antara is exchanging its $100 million second lien 2026 AMC Notes for about 91 million APE units. The move lowers AMC’s debt and lowers its interest expense by $10 million.
Separately, AMC is also planning a special meeting of its stockholders as well as holders of APE units to increase the authorized number of AMC shares and to adjust its ordinary share capital.
The fundraising and debt swap remain subject to closing conditions. AMC shares have now tanked nearly 72% year-to-date while short interest in the stock remains high at about 19% at present.
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