AMC taps junk-bond market for $500 mn to refinance high-cost pandemic debt

AMC Entertainment Holdings Inc. sold a $950 million junk bond after almost doubling the size of the offering amid unexpectedly strong demand at a moment when investors have favored floating-rate loans over bonds. 

Citigroup Inc. led the sale of the notes, which are due in 2029 and will be used to help refinance some of the expensive debt AMC acquired to get through pandemic-era shutdowns. The bonds priced with a 7.5% yield, according to a person with knowledge of the matter. The world’s largest movie-theater operator, which initially targeted a deal size of $500 million, lowered the yield on the debt