AMC’s main shareholder, Silver Lake sells total stake for $ 713 million

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AMC Entertainment Holdings

The second largest owner, Silver Lake, sold its entire stake in the cinema network for $ 713 million.

Barron’s reported that private equity firm Silver Lake was converting AMC debt (ticker: AMC) into shares earlier this week. In a form that Silver Lake filed with the Securities and Exchange Commission on Friday, the company noted that it sold the resulting 44.4 million shares all on January 27 at an average price of $ 16.05 each.

In late 2020, Silver Lake’s AMC convertible notes gave it a 21.3% stake in the company’s publicly traded class A common shares. Silver Lake’s voting share was much lower, since Wanda America Entertainment, based in China, owned 51.8 million class B shares with overvoting at the time. Class B shares are entitled to three votes each, while class A common shares are entitled to one vote each. Wanda America controlled 58.8% of AMC’s voting power at the time.

Silver Lake did not immediately respond to a request for comment on the sale of shares.

AMC shares have soared 525.5% so far this year, amid sales compression across the market.

Inside Scoop is a regular feature of Barron that covers stock transactions by corporate executives and board members – so-called insiders – as well as large shareholders, politicians and other prominent figures. Due to their insider status, these investors are required to disclose share trades with the Securities and Exchange Commission or other regulatory groups.

Write to Ed Lin at [email protected] and follow @BarronsEdLin.