Silver Lake cashes out on AMC for $713 million after Reddit-fueled rally. This leaves Silverlake and its co-investors with a profit following their $600 million convertible bond investment. The company made this investment in AMC back in 2018.
AMC, the world's largest movie theatre chain, was on the verge of bankruptcy over the summer. After the debt restructuring deal with Silver Lake and its creditors, AMC could breathe a sigh of relief. Due to a rally in AMC's stock as part of the market manipulation scheme of retail investors on Reddit and Robinhood, Silver Lake was able to convert the bonds into shares when AMC's stock price went above the bonds' conversion price.
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