AMC Entertainment provides settlement notice in ‘short-swing’ profits case

AMC Entertainment announced that a federal court in New York has issued an order preliminarily approving a proposed settlement reached by all parties to a civil action brought by plaintiffs Dennis J. Donoghue and Mark Rubenstein, each of whom are AMC shareholders, for AMC to recover so-called “short-swing” profits under Section 16(b) of the Securities Exchange Act of 1934 alleged to have been realized by defendants Antara Capital Master Fund LP, Antara Capital Fund GP LLC, Antara Capital LP, Antara Capital GP LLC, and Himanshu Gulati in connection with their purchases and sales of AMC securities. AMC is party to the suit in name only, which was brought for the benefit of AMC.