The American chain of multiplex cinemas AMC Entertainment has launched a capital increase this Wednesday in which it expects to raise 124.7 million dollars (101.6 million euros), as detailed in the operation brochure sent to the Commission Securities and Exchange of the United States (SEC, for its acronym in English).
Specifically, the company will issue 50 million new shares, with a par value of $ 0.01, which it expects to place among investors at a price of $ 2.5 each.
On Tuesday, the titles of the movie chain closed the session on the New York Stock Exchange with a decrease of 4.18%, reaching 2.29 dollars. The pandemic has impacted the company’s business due to restrictions on going to crowded and indoor venues, such as cinemas. Since the first day of January, the price of AMC has plummeted 69.3%. Compared to the all-time high in March 2015, the drop exceeds 93%.
In the transaction prospectus, AMC has explained that it will use the proceeds from the expansion for general corporate purposes, including capital expenditures, working capital and debt refinancing.