AMC Entertainment Holdings Inc (NYSE:AMC) disclosed an equity capital raise and a debt for equity exchange. The company also proposed a vote to convert AMC Entertainment Preferred Equity Units (NYSE:APE) into common shares and enact a reverse stock split.
On CNBC’s “Options Action,” Mike Khouw of Optimize Advisors said AMC traded at 3.8x average daily put volume on Thursday.
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There was a buyer of 9,789 of the April 3 puts at an average price of $1.55 per contract, Khouw mentioned.
The trader bet that AMC’s stock will test 2021 lows within the next four months.
AMC Price Action: Shares of AMC Entertainment are down 11.10% at $4.37 Friday afternoon at publication.
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