AMC Entertainment's Fire Sale Has Begun
AMC Entertainment (NYSE: AMC) isn't wasting any time shedding assets. At the beginning of August, the movie theater operator previewed an ugly quarter that ended up featuring a net loss of over $176 million. To help shore up its finances, which suffer from deep indebtedness in addition to that now significant net loss, AMC promised it would unload around $400 million worth of assets.
Sure enough, several days later it announced the sale of its 50% ownership stake in the movie distribution company Open Road Films. That's the first of AMC's divestments, and it surely won't be the last.
Source: Fool.com