Adam Aron Entertainment film CEO Adam Aron

AMC Entertainment Stock Plunges As Its APE Securities Debut On NYSE

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AMC Entertainment’s new APE securities — AMC Preferred Equity Units – began trading today late morning in a messy session for the big exhibitor, whose primary stock is down by almost 40%.APES were being distributed to AMC shareholders via their brokers starting this morning.

Shareholders are getting one APE for each share of common stock they own. APES — which will have the same economic value and voting rights as common stock — opened at $6.95.

A report said the security was halted briefly after trading up to $9.49. It popped to over $10 but is currently changing hands at $7.37.AMC had tried to prepare investors in an explanatory note, and tweet today by CEO Adam Aron. “An investor should … expect that the price of a stand-alone share of common stock logically should at least initially decline, however that investor’s economic interest will be the sum of the price of a share of common stock plus the price of an APE,” AMC said.IMPORTANT!

Remember that with the APE already having had its first NYSE trade today, the value now of your AMC holdings consists of the prices of your AMC shares and your new APE units COMBINED.

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