By Dhirendra Tripathi
Investing.com – Shares of AMC Entertainment (NYSE:AMC) were up short of 2% in Monday’s premarket following its Chinese parent, Wanda, selling most of its stake.
The shares were sold to a widely dispersed array of buyers on the New York Stock Exchange last week, AMC said in a release.
Wanda acquired all of AMC in 2012 and took it public a year later.
The Chinese company and AMC will enter into a long-term strategy and cooperation agreement, which will facilitate efficiencies through global purchasing efforts and the sharing of best practices. Some of the films made by Wanda will also be shown at select AMC theatres.
AMC raised $428 million in equity early May. The company raised that money before commissions and fees at an average price of $9.94 per share. The shares are since up by more than a fifth.
Wanda executives Lincoln Zhang and John Zeng will quit the AMC board in a month.
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