Since the COVID-19 pandemic forced AMC Theatres to shut down its business in March, Hollywood and Wall Street speculated Chapter 11 bankruptcy was just around the corner for the world’s largest cinema operator. AMC Chief Executive Adam Aron said in a statement Monday that “any talk of an imminent bankruptcy for AMC is completely off the table” after the company disclosed raising $917 million in fresh capital since December to sustain itself through the coronavirus crisis. The new cash, raised through a combination of debt and equity, would extend its financial runway “deep into 2021,” the company said. AMC had previously warned investors that bankruptcy was a possibility if the company failed to replenish its cash reserves by selling stock. We now have the cash to survive.”AdvertisementShares of AMC, which have languished during the public health disaster, surged 26% to $4.42.

Source: Los Angeles Times January 25, 2021 19:27 UTC