Written by: Tory Dickerson
The man, the myth, the legend, CEO Adam Aron. Recently elected as chairman of AMC, the corporation seems to be headed in the right direction with vast opportunities for growth. Where does this leave the ape community?
AMC Entertainment becomes more valuable
Aron’s presence in the AMC community has given the company a great deal of growth. In 2019 AMC hit an all-time high of $42.5 billion.
Unfortunately in Mid-March of 2020, coronavirus forced closure upon every movie theater, a diminished income of revenue led the establishment to a financial crisis. Fearfully, Aron remained humble and began to search for ways to keep the 116-year-old movie theater afloat while skimming bankruptcy four times.
Among his searches he found an unexpected helping hand in the form of retail investors who gathered on online platforms to take matters into their own hands. These groups named themselves “apes,” and took the stock to an all-time high.
Shares went up more than 3,000% in the year. Aron was astounded, he wanted to thank retail investors for pulling AMC out of its darkest patch, raising hundreds of millions of dollars through their trading.
Retail takes over
As of March 11, 2021, more than 80 percent of the 3.2 million investors were retail owners. With the goodwill of Aron shareholders are now able to get free large popcorn along with special invitations to screenings, upon signing up with Investor Connect; a website made to support the ape community. He also donated to a gorilla charity, in reference to the apes.
AMC then released a vote to shareholders to release the sale of 25 million new shares. After backlash from the ape community Aron called off the proposition.
Aron tweeted thereafter, standing alongside retail investors, “I see you, I hear you, I value you.” Shares proceeded to jump 5.9% following his actions to cancel the proposal.
With Adam Aron’s appreciation and backing on the community, this company can reach new heights it has never seen before. Aron added in a statement Wednesday: “During my five-plus year tenure as CEO at AMC, I’ve taken great pride in the relationships I have forged with AMC’s owners. With AMC Investor Connect, that effort in relationship building will continue apace even if our shareholders now number in the millions. After all, these people are the owners of AMC, and I work for them.”
Written by Tory Dickerson
You can follow Tory on Twitter @_tdick_