The world’s largest cinema chain has seen its share price rise by 1,100 per cent in 2021
The share price of cinema chain AMC soared again as it announced its new Reddit investors will get free popcorn.
Stock in the world’s largest cinema chain surged more than 120 per cent on Wednesday to reach a new high of over $70 before dropping marginally.
The company’s stock market success has been boosted by retail investors from the popular WallStreetBets Reddit board, and has seen its share price rise by 1,100 per cent in 2021.
And AMC says that 80 per cent of the company is now owned by more than 3.2m retail investors.
Now AMC is reaching out to its new shareholders with the “AMC Investor connect” project, which is aimed at putting the company in direct communication with its extraordinary base of enthusiastic and passionate individual shareholders.
The company also revealed that its new-found popularity has seen its retail shareholder base grow beyond 3 million owners in recent months.
Many of our investors have demonstrated support and confidence in AMC. We intend to communicate often with these investors, and from time to time provide them with special benefits at our theatres, said AMC CEO Adam Aron.
We start with a free large popcorn on us when they attend their first movie at an AMC theatre this summer, he said.
Investors will also get special discounts and invites to special screenings.
With more Americans now vaccinated the movie chain is hoping to have a successful end to 2021 after being crushed throughout the pandemic.
AMC’s soaring share price came as it also announced that it had raised an additional $230.5m by selling 8.5m shares to Mudrick Capital management.
With our increased liquidity, an increasingly vaccinated population, and the imminent release of blockbuster new movie titles, it is time for AMC to go on the offense again, added Mr Aron.
The cinema chain was among a host of stocks, including GameStop boosted by the WallStreetBets board in an attempt to hurt traders who had taken short positions in a bet against the then-struggling companies.
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