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AMC Entertainment to get $100 million from Mudrick Capital

Published 12/11/2020, 06:55 AM
Updated 12/11/2020, 07:15 AM
© Reuters. The outbreak of the coronavirus disease (COVID-19) in Burbank
AMC
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(Reuters) -Movie theater operator AMC Entertainment (NYSE:AMC) Holdings Inc said on Friday it would issue shares to investment firm Mudrick Capital Management LP for a $100 million investment as it looks to prop up its finances to stave off a possible bankruptcy.

The company's shares fell 6% in premarket trading.

AMC said it would need at least $750 million of additional liquidity to fund its cash requirements through next year. (https://

The company estimated its cash and cash equivalents amounted to about $320 million at Nov. 30, and in the absence of additional liquidity it anticipates its existing cash resources will be depleted during January next year.

© Reuters. The outbreak of the coronavirus disease (COVID-19) in Burbank

"We are in discussions regarding potential financing alternatives for our international businesses, relying on permitted borrowing capacity under our £100 million European credit facility", AMC said in a regulatory filing.

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