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‘Meme stock’ rally rescues AMC theaters from $600M debt

130 pointsby Borlandsover 4 years ago

8 comments

jeffbeeover 4 years ago
Why is Polygon trying to make this sound like Silver Lake might have lost money? They converted a pile of definitely worthless debt into perhaps-not-worthless shares. They are trying to make it sound like making 5-7% is a single day isn't great, but that is a spectacular return by any standard.
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xwdvover 4 years ago
Wow, it pays to be a meme stock.<p>This means that memes could really be an untapped trillion dollar industry if they’re able to drastically raise the social capital of damn near anything, which can be used for profit purposes.
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bassman9000over 4 years ago
So AMC and its thousands of employees remain afloat for a few extra months?<p><a href="https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;AMC_Theatres" rel="nofollow">https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;AMC_Theatres</a>
fallingfrogover 4 years ago
Personally I enjoy the theater experience tremendously and I do hope that when the pandemic is over they are still there.<p>One thing that coronavirus has taught us is that the whole capitalist system depends on constant flow of rents, loan payments, bond payments, and so on and if that flow is interrupted, the whole system has a heart attack and panics. You can’t just pause capitalism, there are all kinds of contractual payments that have to be made. In that way it’s actually much <i>less</i> flexible than, say, a planned economy.<p>But I hope amc survives.
jannesover 4 years ago
What the hell is a &quot;corporate IOU&quot;? Why don&#x27;t they say convertible bond?
ngcc_hkover 4 years ago
Smart move as long as it sell it quick. Buying bonds you want to be in the long term. And selling and get some money to say the firm is great.<p>A financial move in a crazy situation.
iamleppertover 4 years ago
Finally, we&#x27;ve found a good way to monetize Reddit users!
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mimikatzover 4 years ago
We shouldn&#x27;t get our finance news from a gaming website.
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