Why Is AMC Entertainment (AMC) Stock Down Today?

  • AMC Entertainment (AMC,APE) stock is on the move after revealing details for a shareholder meeting.
  • The company has three proposals it wants investors to vote on.
  • The focus is the conversion of APE shares to AMC shares.
AMC Stock - Why Is AMC Entertainment (AMC) Stock Down Today?

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AMC Entertainment (NYSE:AMC) stock and the company’s Preferred Equity Shares (NYSE:APE) stock are on the move Monday after the movie theater company revealed the details of its next shareholder meeting.

First off is the date and time. AMC will hold its next shareholder meeting on March 14, 2023. The meeting will start at 12:00 p.m. Eastern Time and is taking place at the AMC Theatre Support Center in Leawood, Kansas.

Now for the details of the meeting. AMC is holding this special shareholder meeting to address three proposals that it wants shareholders to vote on. They are as follows:

  1. Increasing the total number of authorized AMC stock from 524,173,073 to 550,000,000 shares.
  2. Approving a one-for-10 reverse stock split to allow AMC to covert its Series A Preferred Stock into Common Stock.
  3. To allow for one or more adjournments of the special meeting should more shareholder votes be needed.

AMC Stock: What’s Behind the Special Meeting

The big focus of the AMC Entertainment special meeting is the company’s APEs, which are its Series A Preferred Stock. The company is looking to convert these to shares of AMC stock following their distribution via a special dividend. That comes as the APEs are consistently trading below the price of AMC stock.

AMC stock rallied in pre-market trading on Monday morning but is currently down 3.5% as of this writing.

Investors looking for all of the latest stock market news will want to keep reading!

InvestorPlace has all of the hottest stock market coverage traders need to know about on Monday. Among that is why G Medical Innovations (NASDAQ:GMVD) stock is up, this morning’s biggest pre-market stock movers, and more. You can find all that news at the links below!

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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Article printed from InvestorPlace Media, https://investorplace.com/2023/01/why-is-amc-entertainment-amc-stock-up-down-today-jan-30/.

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