NEW YORK, Jan. 15, 2018 /PRNewswire/ -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against AMC Entertainment Holdings, Inc. ("AMC" or "the Company") (NYSE: AMC) and certain of its officers, on behalf of shareholders who purchased AMC Class A common shares during the period between December 20, 2016 and August 1, 2017, inclusive (the "Class Period"), including purchasers in the Company's secondary public offering on or about February 8, 2017 (the "SPO"). Such investors are encouraged to join this case by visiting the firm's site: http://www.bgandg.com/amc.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934 and/or the Securities Act of 1933.
The complaint alleges that throughout the Class Period, defendants made materially false and misleading statements and/or failed to disclose adverse facts regarding the Company's business and prospects in its Registration Statement and Prospectus regarding Carmike's revenue growth and omitted material facts and included materially inaccurate statements associated with AMC's newly acquired international business. Specifically, the complaint alleges that defendants failed to disclose that: (1) Carmike's operations had been experiencing a prolonged period of financial underperformance due to a protracted period of underinvestment in its theaters; (2) Carmike had experienced a significant loss in market share when its loyal patrons migrated to competitors that had renovated and upgraded their theaters; (3) AMC was able to retain only a very small number of Carmike's loyalty program members after the Carmike acquisition; (4) these issues were then having a material adverse effect on Carmike's operations and theater attendance; and (5) as a result of defendants' false statements and/or omissions, the price of AMC common shares was artificially inflated during the Class Period, trading above $35 per share.
On August 1, 2017, after market hours, AMC announced its preliminary second quarter 2017 financial results, revealing that it estimated to report total second quarter revenues of about $1.2 billion and a net loss of about $178.5 to $174.5 million, or a loss of $1.36 to $1.34 per diluted share. AMC also said that its 2017 revenues were expected to range between $5.10 and $5.23 billion and its 2017 net loss between $150 and $125 million, or a loss of $1.17 to $0.97 per diluted share. As a result of these disappointing figures, AMC stock dropped roughly 27% to close at $15.20 per share on August 2, 2017, or more than 50% below the price at which the shares were sold in the SPO.
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint you can visit the firm's site: http://www.bgandg.com/amc or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in AMC you have until March 13, 2018 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm's expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Hurwitz
212-697-6484 | firstname.lastname@example.org
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