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Private equity firm Silver Lake, the theater’s second-largest owner, turned the debt into 44.4 million AMC shares and sold them all on Jan. 27.
Angela Weiss / AFP / Getty Images
AMC Entertainment Holdings
“The second largest owner, Silver Lake, sold its entire share in the theater chain for $ 713 million.
Barron’s reported that private equity firm Silver Lake was turning AMC’s debt (ticker: AMC) into shares earlier this week. In a Silver Lake form filed with the Securities and Exchange Commission on Friday, the company said it sold the resulting 44.4 million shares, all on Jan. 27 at an average price of $ 16.05 each.
At the end of 2020, AMC convertible banknotes from Silver Lake gave it a 21.3% stake in the Class A common shares of the publicly traded company. Silver Lake’s voting package was much smaller, with China-based Wanda America Entertainment holding 51.8 million Class B shares overseen at the time. Class B shares bear three votes each, while ordinary Class A shares bear one vote each. Wanda America controlled 58.8% of AMC’s voting power at the time.
Silver Lake did not immediately respond to a request for comment on the sale of shares.
AMC shares have risen 525.5% so far this year, amid a brief market outage.
Inside Scoop is a common feature of Barron that covers the stock transactions of corporate executives and board members – the so-called insiders – as well as large shareholders, politicians and other prominent figures. Due to their privileged status, these investors are required to disclose transactions in shares with the Securities and Exchange Commission and other regulatory groups..
Write to Ed Lin at [email protected] and follow @BarronsEdLin.