All articles tagged with #ape conversion
AMC Entertainment Holdings has announced that it has reached a settlement in a shareholder lawsuit over the proposed conversion of AMC Preferred Equity units into common stock and a 10-to-1 reverse stock split. The terms of the settlement were not disclosed.
AMC Entertainment's stock dropped over 25% after the company agreed to settlement terms related to a shareholder litigation around a stock conversion. The settlement would allow AMC to convert its AMC Preferred Equity units into shares of common stock, alongside a 10-to-1 reverse stock split and the capacity to sell more shares. A final settlement is subject to a formal agreement and court approval, and terms include payment to the plaintiffs of about 4.4% of AMC's stock.
AMC Entertainment's stock tumbled 19% after hours on Monday after it disclosed a binding settlement with plaintiffs in its stock conversion lawsuit providing for its APE conversion to move forward. The settlement includes a payment to the plaintiff class in the form of Class A common stock, a move needed to let a "status quo order" get lifted and allow the company to proceed with converting its AMC Preferred Equity units (APE) into common stock. The APE units were up 31% postmarket.