AMC Entertainment Holdings, Inc. (“AMC” or “the Company”) (NYSE: AMC) today announced that its Board of Directors has approved the repurchase of up to $100 million of the Company’s Class A common stock over a two-year period.
“AMC’s Board of Directors and senior management strongly believe that AMC’s future prospects are bright and that our company is well positioned to drive revenue and earnings growth over the years ahead,” said AMC Chief Executive Officer and President Adam Aron. “We do not believe, however, that the current AMC share price properly reflects those future prospects and therefore presents a compelling investment opportunity for the company. The $100 million stock repurchase program authorized by our Board demonstrates our confidence in the underlying strength of AMC’s businesses and reflects our commitment to delivering shareholder value.”
Aron added, “In addition, I also plan individually to buy AMC stock in the open market with personal monies within the next 60 days. Of course, I will do so under the advice of counsel and in proper coordination with any purchases by the company under the stock buy-back allocation we announced today.”
Repurchases may be made at management’s discretion from time to time through open market transactions including block purchases, through privately negotiated transactions, or otherwise over the next two years in accordance with all applicable securities laws and regulations. The extent to which AMC repurchases its shares, and the timing of such repurchases, will depend upon a variety of factors, including liquidity, capital needs of the business, market conditions, regulatory requirements and other corporate considerations, as determined by AMC’s management team. Repurchases may be made under a Rule 10b5-1 plan, which would permit common stock to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws. The repurchase program does not obligate the Company to repurchase any minimum dollar amount or number of shares and may be suspended for periods or discontinued at any time. The Company had approximately 55.08 million shares of Class A common stock outstanding as of August 1, 2017.
AMC Entertainment Holdings, Inc.
AMC is the largest movie exhibition company in the U.S., in Europe and throughout the world with approximately 1,000 theatres and 11,000 screens across the globe. AMC has propelled innovation in the exhibition industry by: deploying more plush power-recliner seats; delivering enhanced food and beverage choices; generating greater guest engagement through its loyalty program, web site and smart phone apps; offering premium large format experiences and playing a wide variety of content including the latest Hollywood releases and independent programming. AMC operates among the most productive theatres in the United States’ top markets, having the #1 or #2 market share positions in 22 of the 25 largest metropolitan areas of the United States, including the top three markets (NY, LA, Chicago). Through its Odeon subsidiary AMC operates in 14 European countries and is the # 1 theatre chain in UK & Ireland, Italy, Spain, Sweden, Finland and the Baltic States. www.amctheatres.com.