With theater chain AMC slowly, but surely sneaking into inevitable bankruptcy, shares of the company (AMC Entertainment Holding Inc.) skyrocketed today to 47% in active premarket trading, this after The Daily Mail reported Amazon’s interest in buying out the struggling movie theater chain. The piece confirmed a long-gestating rumor withing the industry that AMC and Amazon have been holding serious talks for a potential buyout in the last few weeks.
I wrote on April 6th:
“The impending, maybe even inevitable, closure of AMC theaters all around the country would be a devastating blow to the theatrical experience in the United States. At this present time, it is inevitable for AMC to demand some kind of bailout. According to Subscription Inside, AMC reported a $5 billion-plus deficit in 2019 and losses of $149 million for the year. “
More to come …