Index Investing News
Friday, May 30, 2025
No Result
View All Result
  • Login
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion
No Result
View All Result
Index Investing News
No Result
View All Result

AMC Entertainment gets approval for revised investor settlement, preferred stock soars By Reuters

by Index Investing News
August 11, 2023
in Financial
Reading Time: 2 mins read
A A
0
Home Financial
Share on FacebookShare on Twitter


© Reuters. FILE PHOTO: Closed signs are seen on an AMC Theatre during the outbreak of the coronavirus disease (COVID-19), in New York City, U.S., April 29, 2020. REUTERS/Brendan McDermid

(Corrects , in second paragraph)

By Tom Hals and Jody Godoy

WILMINGTON, Delaware (Reuters) – A Delaware judge approved AMC Entertainment (NYSE:)’s revised stockholder settlement on Friday, three weeks after the judge rejected a related deal by the cinema operator.

The ruling sent the shares of the company’s preferred stock soaring 27%. The company’s common stock fell 27%.

AMC has told investors it is burning cash at an unsustainable rate and that the settlement would clear the way for the company to sell more shares and pay down some of its $5.1 billion in debt.

Under the approved class action settlement, AMC will provide stock worth an estimated $129 million to holders of its common stock to settle potential legal claims related to a stock conversion plan.

The approved class settlement did not allow shareholders to opt out and binds them to the agreement.

On July 21, the same judge, Delaware Vice Chancellor Morgan Zurn, rejected a prior version of the settlement because it also settled potential claims by preferred shareholders who were not represented in the lawsuit.

That provision was removed from the proposed settlement that Zurn approved on Friday.

More than 2,800 objections to the initial settlement were filed by shareholders, a level of interest Zurn called “unprecedented.” Many of those objectors sought permission to opt out of the settlement and sue on their own behalf, dismissing AMC’s dire financial predictions as “fear tactics.”

Zurn said an opt-out was not feasible and would be detrimental to the company and its shareholders.

The company was sued in February for allegedly rigging a shareholder vote that would allow AMC to convert preferred stock to common stock and issue hundreds of millions of new shares.

The investors who sued alleged AMC had come up with the plan to circumvent the will of common stock holders who opposed the company diluting their holdings.

Without the proposed settlement, common stockholders and preferred shareholders would end up owning 34.28% and 65.72% of AMC, respectively. Under the proposed settlement, common stockholders and preferred shareholders would own 37.15% and 62.85%, respectively.

The case is In re: AMC Entertainment Holdings Inc. Stockholder Litigation, No. 2023-0215, in the Delaware Court of Chancery.

(This story has been corrected to show the company’s common stock fell 27%, not rose 27% in paragraph 2)



Source link

Tags: AMCApprovalEntertainmentInvestorpreferredReutersrevisedsettlementSoarsStock
ShareTweetShareShare
Previous Post

US, China agree to double weekly flights between countries By Reuters

Next Post

Time to Ensure Equity in Global Research Vocabulary — Global Issues

Related Posts

’50 tonnes per day’: Fishermen report an enormous soar in Octopus inhabitants alongside English Channel indicating a stress in deep ocean

’50 tonnes per day’: Fishermen report an enormous soar in Octopus inhabitants alongside English Channel indicating a stress in deep ocean

by Index Investing News
May 30, 2025
0

Unusually heat sea temperatures within the North Atlantic are disrupting marine ecosystems, resulting in a pointy rise in octopus catches...

NetEase shares close to report excessive as China’s Gen Z embraces video games

NetEase shares close to report excessive as China’s Gen Z embraces video games

by Index Investing News
May 30, 2025
0

NetEase Inc. shares are closing in on their first new all-time excessive in over 4 years, as a wave of...

Adani Ports’ Rs 5,000 Crore Bond Sale Attracts LIC’s Curiosity, Say Reviews

Adani Ports’ Rs 5,000 Crore Bond Sale Attracts LIC’s Curiosity, Say Reviews

by Index Investing News
May 29, 2025
0

Adani Ports & Particular Financial Zone Ltd.'s document rupee bond supply value Rs 5,000 crore noticed curiosity from Life Insurance...

India set to turn out to be third largest economic system by 2027: Piyush Goyal

India set to turn out to be third largest economic system by 2027: Piyush Goyal

by Index Investing News
May 29, 2025
0

Union Minister of Commerce and Trade Piyush Goyal mentioned on Thursday that India is on monitor to turn out to...

FSSAI asks meals corporations to take away “100 per cent” declare from labels

FSSAI asks meals corporations to take away “100 per cent” declare from labels

by Index Investing News
May 29, 2025
0

The Meals Security and Requirements Authority of India (FSSAI) has requested meals and beverage corporations to take away the time...

Next Post
Time to Ensure Equity in Global Research Vocabulary — Global Issues

Time to Ensure Equity in Global Research Vocabulary — Global Issues

Prominent investors rekindle affection for Amazon in Q2 as stock price jumps By Reuters

Prominent investors rekindle affection for Amazon in Q2 as stock price jumps By Reuters

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

RECOMMENDED

Microsoft the most impersonated brand in Q2 2023 phishing scams

Microsoft the most impersonated brand in Q2 2023 phishing scams

July 21, 2023
WMT, HD, VIR and more

WMT, HD, VIR and more

February 21, 2023
Cuba responds to Chinese spy base claim — RT World News

Cuba responds to Chinese spy base claim — RT World News

June 9, 2023
Golden State Warriors vs Toronto Raptors: Three big talking points | NBA News

Golden State Warriors vs Toronto Raptors: Three big talking points | NBA News

December 15, 2022
China Dissuades Prime AI, Robotics Researchers From US Journey Over Safety Issues – FREEDOMBUNKER

China Dissuades Prime AI, Robotics Researchers From US Journey Over Safety Issues – FREEDOMBUNKER

March 4, 2025
Birtcher Announces New 330 KSF California Logistics Center – Commercial Property Executive

Birtcher Announces New 330 KSF California Logistics Center – Commercial Property Executive

January 24, 2023
Rep. Tom Emmer says Gensler “abused his authority,” backs amendment to limit SEC’s crypto reach

Rep. Tom Emmer says Gensler “abused his authority,” backs amendment to limit SEC’s crypto reach

September 9, 2023
Tesla hikes Canadian costs and pushes its pre-tariff stock

Tesla hikes Canadian costs and pushes its pre-tariff stock

April 27, 2025
Index Investing News

Get the latest news and follow the coverage of Investing, World News, Stocks, Market Analysis, Business & Financial News, and more from the top trusted sources.

  • 1717575246.7
  • Browse the latest news about investing and more
  • Contact us
  • Cookie Privacy Policy
  • Disclaimer
  • DMCA
  • Privacy Policy
  • Terms and Conditions
  • xtw18387b488

Copyright © 2022 - Index Investing News.
Index Investing News is not responsible for the content of external sites.

No Result
View All Result
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion

Copyright © 2022 - Index Investing News.
Index Investing News is not responsible for the content of external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In