AMC Entertainment Stock Plunges As Its APE Securities Debut On NYSE
AMC Entertainment's new APE protections — AMC Preferred Equity Units - started exchanging today late morning a chaotic meeting for the enormous exhibitor, whose essential stock dove, shutting down 41%. at $10.46. It was up somewhat in reseller's exchange exchanging.
Primate units were being appropriated to AMC investors through their representatives beginning earlier today. Investors get one APE for each portion of normal stock they own.
The APES, which will have similar financial worth and casting a ballot rights as normal stock, opened at $6.95. Exchanging was stopped momentarily after they exchanging up to $9.49, popping to more than $10 however shutting the meeting down over 13% at $6.
AMC had attempted to get ready financial backers in an illustrative note, and tweet today by CEO Adam Aron.
"A financial backer ought to … expect that the cost of an independent portion of normal stock consistently ought to some extent at first decay, but that financial backer's monetary interest will be the amount of the cost of a portion of normal stock in addition to the cost of an APE," AMC said.
Aron, when announcing the APES earlier this month, described them as a kind of special dividend, a gift to AMC stockholders. (Apes are also slang for amateur investors, who piled into AMC in 2021.)