SAN FRANCISCO, Jan. 6, 2020 /PRNewswire/ -- Schubert Jonckheer
& Kolbe LLP is investigating potential derivative claims on
behalf of the shareholders of AMC Entertainment Holdings, Inc.
(NYSE: AMC) related to the company's statements and omissions
regarding AMC's acquisition of Carmike Cinemas, Inc. ("Carmike") in
December 2016 and AMC's international
expansion in late 2016 and early 2017.
In an effort to deleverage the debt it acquired during this
expansion, AMD undertook a secondary public offering in
February 2017, raising approximately
$618 million. Then, on August 1, 2017, the company reported in its
financial results for 2Q2017 a net loss for the quarter of between
approximately $174 and $179 million, with an expected net loss for the
year between $125 and $150 million. In response, the price of AMC
common stock fell 27% on August 2,
2017.
A securities class action pending against the company in the U.S. District Court for
the Southern District of New York
(Case No. 18-cv-00299-AJN), alleges that certain of AMC's directors
and officers misled investors as to the adverse trends and risks of
the chains purchased in its acquisition binge. On September 20, 2019, U.S. District Judge
Alison J. Nathan denied defendants'
motion to dismiss, in part, finding that plaintiffs sufficiently
alleged that (1) AMC omitted material information regarding
Carmike's underinvestment in its theatres, (2) AMC omitted material
information regarding Carmike's loyalty program, and (3) AMC
omitted material information regarding the seasonality of its
newly-acquired European businesses.
The Schubert Firm is investigating potential derivative claims
based on harm the company has suffered as a result of potential
breaches of fiduciary duty by the company's officers and directors.
If you currently own stock in AMC and wish to obtain additional
information about derivative claims and your legal rights, please
contact Kathryn McCauley via email
at kmccauley@sjk.law or by telephone at (415) 788-4220, or fill out
the form on our website at www.classactionlawyers.com/AMC.
About Schubert Jonckheer & Kolbe
Schubert Jonckheer & Kolbe has extensive experience in
prosecuting securities claims and has successfully represented
investors throughout the nation in shareholder lawsuits. Attorney
advertising. Prior results do not guarantee similar outcomes.
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SOURCE Schubert Jonckheer & Kolbe LLP