AMC Entertainment has completed a $3.97bn refinancing, replacing nearly all of the debt created by its elaborate liability management transactions over the past six years with longer-dated loans and bonds. The deal buys the cinema operator breathing room through 2031 and consolidates collateral into a broader security package.
“This is a complete reset of this company — it’s like a cleansing,” said one investor in the credit. “It’s going to be a real equity now.”
The transaction, which closed on 5 October, comprises $2bn of 8.875% first lien notes due 2031, an $850m first lien term loan due 2031 (credit agreement here) at SOFR+450bps and a $1.12bn second lien term loan due 2033 provided by the Deutsche Bank Special Situations Group at an 11.25% fixed interest rate.
Source: Company filings. Note: Remaining $4.45m of holdout notes are to be redeemed on or about 15 February 2027.
AMC also completed its cash tender offer for its 7.5% senior secured notes due 2029. Holders validly tendered $355.515m of principal, or 98.8% of the issue, and AMC satisfied and discharged the indenture by depositing non-callable US government securities sufficient to fund redemption of the untendered notes to be redeemed around 15...
