Shares of AMC Entertainment Holdings Inc. fell again Tuesday, erasing earlier gains, after the movie theater chain disclosed it will no longer ask for shareholder approval to sell more shares.
The stock AMC, -3.85% rose dropped 3.9% to close at $49.69, erasing an earlier intraday gain of as much as 6.0%. It has lost 11.9% amid a three-day losing streak.
The meme stock had dropped 12.3% over the past two weeks through Friday, after rocketing 390.6% amid a four-week win streak through the week ended June 18.
In a filings with the Securities and Exchange Commission, AMC said it decided not to seek stockholder approval to increase the number of Class A shares outstanding, to give the company authority to sell 25 million shares.
The company’s decision comes a month after it disclosed plans to ask shareholders for the authority to issue 25 million new shares, to a total of about 594.2 million shares. That disclosure was on the same day that AMC said it sold 11.55 million shares to the public.
At that time, the company noted that it raised $1.25 billion through the sale of equity during the second quarter.
AMC’s stock has soared 389.8% over the past three months, and has skyrocketed 2,256.6% year to date. In comparison, shares of rival movie theater chain Cinemark Holdings Inc. CNK, -4.34% have rallied 19.1% this year and the S&P 500 index SPX, -0.20% has gained 15.6%.
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