AMC Entertainment shares are trading lower ahead of a 10-to-1 reverse stock split scheduled to take effect Thursday. AMC Preferred Equity Units will be converted to AMC common stock the following day.
Portfolio Pulse from Benzinga Newsdesk
AMC Entertainment is planning a 10-to-1 reverse stock split that will take effect on Thursday. The company's Preferred Equity Units will be converted to common stock the following day.
August 22, 2023 | 5:18 pm
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AMC Entertainment's planned 10-to-1 reverse stock split and conversion of Preferred Equity Units to common stock could impact the company's stock price.
Reverse stock splits are often used by companies to increase their share price and attract investors. However, they can also be seen as a sign of trouble, potentially leading to a decrease in the company's stock price. The conversion of Preferred Equity Units to common stock could also dilute the value of existing shares.
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