AMC Entertainment Holdings, Inc. Announces Collaborative Refinancing Transactions that Extend Up To $2.45 Billion of Debt Maturities from 2026 to 2029 and Beyond
AMC Entertainment Holdings, Inc. (NYSE: AMC) has announced a series of refinancing transactions to extend the maturity of approximately $1.6 billion of debt due in 2026 to 2029 and 2030. The company has issued $1.2 billion of new secured term loans due 2029 in exchange for existing loans and notes. Additionally, AMC has issued $414 million of new exchangeable notes due 2030 to repurchase second lien notes.
The refinancing provides AMC with significant financial flexibility and the potential to reduce debt by $464 million through the conversion of exchangeable notes into equity. The company also has arrangements to potentially repurchase up to $800 million of additional existing term loans and issue up to $50 million more in exchangeable notes to refinance other outstanding debt.
AMC CEO Adam Aron stated that this agreement represents a strong vote of confidence from lenders and positions the company to capitalize on an expected strong industry recovery trajectory.
AMC Entertainment Holdings, Inc. (NYSE: AMC) ha annunciato una serie di operazioni di rifinanziamento per estendere la scadenza di circa 1,6 miliardi di dollari di debito in scadenza tra il 2026 e il 2029 e 2030. L'azienda ha emesso 1,2 miliardi di dollari di nuovi prestiti garantiti con scadenza nel 2029 in cambio di prestiti e obbligazioni esistenti. Inoltre, AMC ha emesso 414 milioni di dollari di nuove obbligazioni convertibili con scadenza nel 2030 per riacquistare note di secondo grado.
Il rifinanziamento offre ad AMC una notevole flessibilità finanziaria e la possibilità di ridurre il debito di 464 milioni di dollari attraverso la conversione delle obbligazioni convertibili in capitale. L'azienda ha anche predisposto accordi per riacquistare fino a 800 milioni di dollari di ulteriori prestiti a termine esistenti e per emettere fino a 50 milioni di dollari in obbligazioni convertibili per rifinanziare altro debito in essere.
Il CEO di AMC, Adam Aron, ha dichiarato che questo accordo rappresenta un forte segnale di fiducia da parte dei finanziatori e posiziona l'azienda per capitalizzare su un atteso forte recupero dell'industria.
AMC Entertainment Holdings, Inc. (NYSE: AMC) ha anunciado una serie de transacciones de refinanciamiento para extender el vencimiento de aproximadamente 1.6 mil millones de dólares de deuda que vence entre 2026 y 2029 y 2030. La compañía ha emitido 1.2 mil millones de dólares en nuevos préstamos garantizados con vencimiento en 2029 a cambio de préstamos y notas existentes. Además, AMC ha emitido 414 millones de dólares en nuevas notas canjeables con vencimiento en 2030 para recomprar notas de segundo grado.
El refinanciamiento le proporciona a AMC una flexibilidad financiera significativa y la posibilidad de reducir la deuda en 464 millones de dólares a través de la conversión de notas canjeables en capital. La compañía también tiene acuerdos para recomprar hasta 800 millones de dólares adicionales en préstamos a plazo existentes y emitir hasta 50 millones de dólares más en notas canjeables para refinanciar otra deuda pendiente.
El CEO de AMC, Adam Aron, declaró que este acuerdo representa una fuerte votación de confianza por parte de los prestamistas y posiciona a la empresa para capitalizar en la esperada fuerte recuperación de la industria.
AMC 엔터테인먼트 홀딩스, Inc. (NYSE: AMC)는 2026년과 2029년 및 2030년에 만기가 도래하는 약 16억 달러의 부채 만기를 연장하기 위해 재융자 거래 일련을 발표했습니다. 이 회사는 기존 대출과 노트와 교환하여 2029년 만기인 12억 달러의 새로운 담보 대출을 발행했습니다. 또한, AMC는 2030년에 만기가 도래하는 4억 1400만 달러의 새로운 교환 가능한 노트를 발행하여 2순위 노트를 재구입했습니다.
재융자는 AMC에 상당한 재무적 유연성을 제공하며, 교환 가능한 노트를 자본으로 전환함으로써 4억 6400만 달러의 부채를 줄일 수 있는 가능성을 제공합니다. 이 회사는 또한 최대 8억 달러의 추가 기존 기한 대출을 재구매하고 다른 미지급 부채를 재융자하기 위해 최대 5000만 달러의 교환 가능한 노트를 발행할 수 있는 계약을 체결했습니다.
AMC CEO 아담 아론(Adam Aron)은 이번 계약이 대출자들로부터 강력한 신뢰의 표시이며, 회사가 예상되는 강력한 산업 회복 궤도를 활용할 수 있도록 한다고 밝혔습니다.
AMC Entertainment Holdings, Inc. (NYSE: AMC) a annoncé une série de transactions de refinancement pour prolonger l'échéance d'environ 1,6 milliard de dollars de dettes arrivant à échéance entre 2026 et 2029 ainsi qu'en 2030. L'entreprise a émis 1,2 milliard de dollars de nouveaux prêts à terme garantis arrivant à échéance en 2029 en échange de prêts et de billets existants. De plus, AMC a émis 414 millions de dollars de nouvelles obligations échangeables arrivant à échéance en 2030 pour racheter des billets de deuxième rang.
Le refinancement offre à AMC une flexibilité financière significative et la possibilité de réduire sa dette de 464 millions de dollars par la conversion d'obligations échangeables en actions. L'entreprise a également des accords pour potentiellement racheter jusqu'à 800 millions de dollars de prêts à terme supplémentaires existants et émettre jusqu'à 50 millions de dollars supplémentaires en obligations échangeables pour refinancer d'autres dettes en cours.
Le PDG d'AMC, Adam Aron, a déclaré que cet accord représente un fort signe de confiance de la part des bailleurs de fonds et place l'entreprise pour tirer parti d'une trajectoire de reprise de l'industrie attendue.
AMC Entertainment Holdings, Inc. (NYSE: AMC) hat eine Reihe von Refinanzierungstransaktionen angekündigt, um die Fälligkeit von etwa 1,6 Milliarden US-Dollar an Schulden, die zwischen 2026 und 2029 sowie 2030 fällig werden, zu verlängern. Das Unternehmen hat 1,2 Milliarden US-Dollar an neuen gesicherten Terminkrediten mit Fälligkeit 2029 im Austausch für bestehende Kredite und Anleihen ausgegeben. Darüber hinaus hat AMC 414 Millionen US-Dollar an neuen wandelbaren Anleihen mit Fälligkeit 2030 ausgegeben, um zweitrangige Anleihen zurückzukaufen.
Die Refinanzierung gibt AMC erhebliche finanzielle Flexibilität und die Möglichkeit, die Schulden um 464 Millionen US-Dollar durch die Umwandlung wandelbarer Anleihen in Eigenkapital zu reduzieren. Das Unternehmen hat auch Vereinbarungen getroffen, um potenziell bis zu 800 Millionen US-Dollar an zusätzlichen bestehenden Terminkrediten zurückzukaufen und bis zu 50 Millionen US-Dollar mehr an wandelbaren Anleihen auszugeben, um andere ausstehende Schulden zu refinanzieren.
Der CEO von AMC, Adam Aron, erklärte, dass dieses Abkommen ein starkes Zeichen des Vertrauens von den Kreditgebern darstellt und das Unternehmen in eine gute Position bringt, um von einer erwarteten starken Erholung der Branche zu profitieren.
- Extended maturity of $1.6 billion debt from 2026 to 2029 and 2030
- Potential debt reduction of $464 million through conversion of exchangeable notes to equity
- Issued $1.2 billion of new secured term loans due 2029
- Issued $414 million of new exchangeable notes due 2030
- Potential to repurchase up to $800 million of additional existing term loans
- Opportunity to issue up to $50 million more in exchangeable notes for debt refinancing
- Increased interest rates on new term loans (Term SOFR plus 600-700 basis points)
- Potential dilution of existing shareholders if exchangeable notes are converted to equity
Insights
AMC's refinancing transactions are strategically sound and provide significant financial flexibility. By extending the debt maturities from 2026 to 2029 and issuing new secured term loans, AMC can better manage its cash flow and navigate through any near-term liquidity issues. The conversion of exchangeable notes into equity is particularly noteworthy as it can reduce the total debt burden by up to
From a market perspective, extending debt maturities is a clear indication that AMC is planning for a long-term recovery. The cinema industry has faced significant disruptions over the past few years, but this move aligns AMC's capital structure with anticipated growth trajectories. It also suggests confidence in a rebound in box office revenues. Investors should monitor box office performance closely in the upcoming quarters, as it will be a key indicator of AMC's ability to generate sufficient cash flows to meet its extended obligations.
The legal implications of AMC's refinancing transactions are intricate but favorable for the company. By issuing exchangeable notes, AMC has the flexibility to convert debt into equity, which could dilute existing shareholders but also reduce the overall debt load. This is a sophisticated maneuver that balances immediate financial relief with potential future equity costs. Investors should be aware of the terms and conditions tied to these exchangeable notes, as they have legal ramifications that could affect shareholder value.
Transformational transactions that strengthen the balance sheet, pave the way for future delevering, and align the capital structure with the expected industry growth trajectory
-
$1.2 billion $800 million -
$500 million 10% /12% Cash/PIK Toggle Second Lien Subordinated Secured Notes due 2026 exchanged into new secured term loans due 2029 or repurchased with proceeds of$414 million -
Opportunity to reduce debt by
$464 million
Details of the Refinancing Transactions
-
AMC and its subsidiaries issue
$1.2 billion $1.1 billion $100 million 10% /12% Cash/PIK Toggle Second Lien Subordinated Secured Notes due 2026 (“Second Lien Notes”). The New Term Loans bear interest at the Term Secured Overnight Financing Rate (“Term SOFR”) plus between 600 and 700 basis points depending on leverage levels. -
AMC and its subsidiaries issue approximately
$414 million $414 million -
AMC and its subsidiaries are entitled to issue up to an additional
$800M -
AMC and its subsidiaries are entitled to issue up to an additional
$50 million -
The total amount of up to
$464 million
1 The Company may issue an additional
2 Assumes no interest is paid in kind in the form of additional Exchangeable Notes.
For more information and details on the transactions, interested parties are highly encouraged to read an SEC Form 8-K in its entirety which will be filed later today and will be available on the Company’s website at https://investor.amctheatres.com/sec-filings/all-sec-filings
Commenting on the agreements, AMC Chairman and CEO Adam Aron said, “Today marks a major milestone for AMC. Thanks to the unwavering support and commitment from our lenders, we have successfully extended a substantial portion of our 2026 debt maturities to 2029 and 2030. This agreement represents an undeniably strong vote of confidence by our lenders in AMC’s future and provides AMC with the necessary financial flexibility to capitalize on an expected strong industry recovery trajectory.”
Aron added, “This transaction represents yet another bold and innovative step that AMC is taking to ensure a successful recovery from the unprecedented box office challenges of the last few years. Not only have our lenders agreed to extend our debt maturities but we have also created the potential for significant debt reduction as the industry recovers.”
Aron concluded, “The box office challenges of the first half of 2024 are now in the rear-view mirror. The recovery momentum is back. We expect strong year-over-year box office growth in the back half of 2024, continuing into 2025 and 2026. With today’s announcement we are ever more confident in the future of our business as we will continue to take the necessary actions to best position AMC to thrive in a more favorable environment.”
About AMC Entertainment Holdings, Inc.
AMC is the largest movie exhibition company in
Website Information
This press release, along with other news about AMC, is available at www.amctheatres.com. We routinely post information that may be important to investors in the Investor Relations section of our website, investor.amctheatres.com/. We use this website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD, and we encourage investors to consult that section of our website regularly for important information about AMC. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document. Investors interested in automatically receiving news and information when posted to our website can also visit investor.amctheatres.com/ to sign up for email alerts.
Category: Company Release
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INVESTOR RELATIONS:
John Merriwether, 866-248-3872
InvestorRelations@amctheatres.com
MEDIA CONTACTS:
Ryan Noonan, (913) 213-2183
rnoonan@amctheatres.com
Source: AMC Entertainment Holdings, Inc.
FAQ
What is the total amount of debt AMC Entertainment (AMC) has refinanced in this transaction?
How much new secured term loans did AMC issue in this refinancing transaction?
What is the potential debt reduction for AMC through the conversion of exchangeable notes?
When are the new exchangeable notes issued by AMC due?
How much additional existing term loans can AMC potentially repurchase?
