According to a new report from The Wall Street Journal, AMC Entertainment is moving quickly to restructure its debt.
The publication said that the movie theater chain is in advanced talks with multiple interested parties to lower its interest burden and stretch out its maturities. Adam Aron, the company's CEO, said earlier this month that one of his major goals was to improve the company's financial position.
CNBC requested comment from an AMC spokesman.
Aron has told investors that AMC does not have any maturities coming due until 2023.
On Tuesday, AMC shares were down more than 4% on the debt refinancing news.
AMC's push to shore up its balance sheet comes as the company's stock value has fallen more than 40% since the beginning of the year, reversing major gains that helped AMC stave off bankruptcy last year. Retail investors who followed the stock closely on social media platforms boosted AMC's stock value.
AMC was caught up in the meme stock trading frenzy and was able to refill its coffers through stock sales in early 2021, but twice failed to win shareholder approval to issue new equity in the company. The company can't issue more shares to help pay down its debt.
The Wall Street Journal has a full report.
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