AMC raises $250M in stock sales in meme rally, shares still up 110% premarket
Victor J. Green | Getty Images News | beautiful images
AMC Entertainment raised about $250 million in new equity capital on Monday in a revived meme stock craze sparked by the return of “Roaring Kitty.”
On Monday, the movie theater operator sold 72.5 million shares in a stock offering. AMC sold those shares at an average price of $3.45 per share before commissions and fees.
AMC shares more than doubled in premarket trading Tuesday following the stock sale.
The average selling price was on the lower end of Monday’s wild session, when AMC more than doubled to hit an intraday high of $5.88. Shares closed Monday trading up more than 78% at $5.19. AMC previously announced the offering on March 28 but waited until Monday to complete it.
AMC
Roaring Kitty, the man who inspired 2021’s meme stock craze, reappeared online with a cryptic image showing a man sitting in a chair leaning forward, but that also enough to spark a buying fever among amateur traders. GameStop shares soared 74% on Monday with a series of trading halts due to volatility.
The video game company jumped more than 130% in premarket trading on Tuesday.
Citigroup, Barclays, B. Riley Securities and Goldman Sachs are agents selling AMC’s shares.
