AMC Theatres Stock Falls After Judge Approves APE-to-Stock Conversion Plan

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AMC Theatres Stock Falls After Judge Approves APE-to-Stock Conversion Plan
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On Monday, in the wake of the court ruling, common shares in AMC predictably began to converge with the lower-cost APE shares.

On Monday, in the wake of the court ruling, common shares in AMC predictably began to converge with the lower-cost APE shares as retail investors had shorted the higher-cost AMC common shares as part of an arbitrage trade.

In mid-morning trading, shares in parent AMC Entertainment Holdings fell by $1.77, or nearly 34 percent, to $3.50, while the price of APE units rose 30 cents, or 17 percent, to $2.08. The court’s latest decision also followed AMC Theatres CEO Adam Aron during an analyst call following his company’s latest financial results reiterating the

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