AMC Nears Deal to Stave Off Bankruptcy

AMC Entertainment (NYSE: AMC), the world's largest theater operator, is on the verge of a restructuring agreement that could keep the company out of bankruptcy for a while longer, according to a report in The Wall Street Journal. The movie theater chain has been among those businesses hardest hit by the COVID-19 pandemic, as multiplexes around the country have been shuttered to stop the spread of the virus.

The arrangement, which could be announced in the coming days, would require AMC's bondholders to provide $200 million in senior loans while also swapping unsecured debt at a discount for second-lien secured debt.

Image source: AMC Entertainment.

Source Fool.com