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AMC Entertainment (New York Stock Exchange: AMC), the world’s largest movie theater chain is not at risk of imminent restructuring or bankruptcy, said a person familiar with the situation.
Second Lien Holders of AMC (AMC) The company is working on creative ways to reduce the theater chain’s debt and raise new funding for the company, a person closely working on the exchange proposal told Seeking Alpha. is expected to reduce its debt and increase its runway and liquidity.
An agreement with the second lien holder could be reached within the next two months, according to people familiar with the matter.
The update comes after Reorg published an article earlier Wednesday that its first- and second-tier lenders were working with separate restructuring advisors due to potential liquidity concerns. I was. 10% sale AMC stock on Wednesday.
According to people familiar with the matter, the first lien holders were likely organized to protect themselves from exchanging second liens.
AMC did not return Seeking Alpha’s emailed request for comment.
This report is published after AMC shares Plunge 77% This year after soaring into 2021 in the memestock craze.
AMC Entertainment (AMC) shorted 22%.
AMC CEO Adam Aron tweeted in September that private investors forced AMC to “raise a ton of cash” in an attempt to reassure investors following Cineworld Chapter 11’s bankruptcy filing.