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AMC reverse stock split effective ahead of APE conversion

Published 2023-08-24, 08:25 a/m
© Reuters.  AMC reverse stock split effective ahead of APE conversion
AMC
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Proactive Investors - AMC Entertainment Holdings (NYSE:AMC)'s reverse stock split has been completed ahead of its AMC Preferred Equity Units (APE) conversion into common stock on Friday.

The reverse stock split saw shareholders receive one share of AMC in exchange for every 10 AMC shares held at the close of trading on Wednesday.

AMC’s share price at the close was $1.96, meaning it was $19.60 post-split.

By carrying out the reverse stock split before the APE conversion, AMC hopes to keep its share price high enough to remain listed on the New York Stock Exchange after the addition of more shares post-conversion dilutes its stock.

However, investors' concerns about dilution continued to send the stock lower in pre-market trade on Thursday.

After tumbling 23.1% yesterday, AMC shares traded down another 11.3% to US$17.39 before the opening bell in New York.

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