AMC Offers Loyal Customers Stock in Upcoming IPO
Buying a ticket at a movie theatre? How about purchasing some of the theatre’s stock?
AMC Entertainment Holdings announced that it is reserving a number of shares in its upcoming IPO for its most loyal members. AMC Stubs members, who originally received the perks of popcorn and soda size upgrades, $10 movie theatre credit for every $100 spent and the waiver of online fees, are eligible to buy shares without paying fees.
AMC Stubs membership only costs theatre fans $12 annually. However, members, as well as employees, will have a 24-hour head start in the IPO to ensure Stubs members have an opportunity to reserve shares at the offering price. Using the LOYAL3 Social IPO Platform, individuals can buy from $100 to $2,500 of AMC stock with no fees.
“While many companies depend on their customers’ support every day, those customers don’t always get the chance to own a piece of the action at the same price as Wall Street investors,” AMC Theatres CEO Gerry Lopez said in a statement. “We’re offering this exclusive employee benefit to our AMC Stubs members to express our sincere gratitude for your loyalty.”
AMC has reserved more than 110,000 shares for members of the Stubs rewards program, in addition to more than 230,000 shares reserved for employees.
AMC plans to sell over 18 million shares, with an expected IPO price of between $18 and $20 per share. The entertainment company plans to raise as much as $368 million in the IPO.
Last year, AMC Entertainment was bought by Chinese conglomerate Dalian Wanda Group Co. in a $2.6 billion deal. AMC filed with regulators for an IPO in August of this year.
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Kate Taylor is a reporter at Business Insider. She was previously a reporter at Entrepreneur. Get in touch with tips and feedback on Twitter at @Kate_H_Taylor.