AMC backs down and will not carry out the capital increase for the moment

AMC backs down and will not carry out the capital increase

AMC Entertainment has announced that it will not carry out the capital increase in which 25 million shares were to be put into circulation. Its director, Adam Aron, has said through his Twitter account that he does not want to generate division between minority shareholders in favor of the sale of securities and those who were against.

“It is no secret that I believe that shareholders should authorize the sale of AMC shares,” the manager posted on social media. And he added that “we are canceling the July vote on more shares and there will be no more requests of this type” until 2022.

This ‘meme stock’, known to have been the subject of speculation by users of the Reddit internet forum, is struggling to cope with debt as the theater industry continues to recover. In fact, the so-called ‘apes’, retail investors who coordinate through this website, have celebrated Aron’s decision. “He took the one thing that divided the apes and crushed it!” They have written.

The announcement has caused the shares to have risen 3% during the morning of this Tuesday, while during the last week they had lost 12%.