AMC Entertainment Looks To Conduct $500 Million Note Offering As It Continues To Recycle Debt

AMC Entertainment (NYSE: AMC) is looking to recycle its debt. The firm this morning announced that it will be conducting a senior secured notes offering, the proceeds of which will be used to fund the redemption of existing senior secured debt.

Under the current offering, the company is looking to raise $500.0 million in aggregate via first lien senior secured notes. The new notes are expected to have a maturity of 2029, with the interest rate for the new debt not yet set by the company. The debt is to be secured by each of the firms subsidiaries.

Proceeds from the financing are to be used to pay off currently outstanding senior secured debt that is due in 2025. Those notes currently bear interest at a rate of 10.5% per annum, and also contain a first priority lien on the firms assets, with the total outstanding debt being $500 million in aggregate. The redemption of the debt is conditional on the current financing being successful.

A closing date for the financing was not provided.

AMC Entertainment last traded at $16.86 on the NYSE.

Information for this briefing was found via Edgar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply