While everyone is paying attention to GameStop’s stock price, some have noticed that the reddit group WallstreetBets also have focused on other stops that have large short sales on them. AMC was not looking so good with a large debt and the pandemic. But because of their shares skyrocketing the private equity firm, Silver Lake decided to convert its corporate bonds into AMC Entertainment Holdings stock. So even if the stock goes back down AMC is now free of a $600 million debt. This will really make a big difference, not only with surviving the pandemic but on the outlook of the company increase the stock value event more.
This is awesome news for the entertainment chain and great news for investors. With competition like Amazon, Netflix, and Disney Plus where people don’t have to leave their homes to be entertained it is nice to see that the pandemic will not take this company down. Just a week ago executives were bracing investors for its imminent demise, and now thanks to the Reddit group WallstreetBets they are absolved of over $600 million in debt. that’s literally hundreds of millions AMC is no longer expected to pay back.
