AMC is trying to stave off the final curtain.
The movie theater chain is close to hammering out a restructuring deal that would save it from bankruptcy, according to the Wall Street Journal.
The deal involves bondholders providing a $200 million senior loan and exchanging their unsecured claims for second-lien debt at an undisclosed discount. Meanwhile, Silver Lake Group, a private equity firm that has a seat on AMC’s board, will move into a first-lien position with its $600 million in convertible bonds.
AMC’s senior lenders, a group that includes Apollo Global Management, submitted their own counterproposal. Their deal would see the lenders fork over an additional $200 million in senior debt, in addition to the $200 million from bondholders, and block Silver Lake’s exchange into a first-lien position. But AMC is close to rejecting that proposal, according to the Journal.