An AMC Entertainment Holdings Inc. shareholder has taken the company’s controversial stock conversion to the US Supreme Court, seeking to overturn previous rulings that permitted the action. This development marks a significant escalation in the ongoing struggle between AMC and its passionate group of meme stock investors.
Last year, AMC converted its AMC Preferred Equity units, or APEs, into common stock. This maneuver was initially opposed by a pension fund and led to a settlement. However, Rose Izzo, a shareholder, filed a petition with the Supreme Court, contending that shareholders should have had the option to opt out of the conversion. Izzo’s objections had previously delayed the conversion for several weeks.
For more details, the full Bloomberg Law article can be read here.