Article 5X6CS Examining AMC’s ‘embarrassingly stupid’ investment in a literal gold mine

Examining AMC’s ‘embarrassingly stupid’ investment in a literal gold mine

by
Catie Keck
from The Verge on (#5X6CS)
acastro_210813_1777_amc_0001.0.jpg Image: The Verge

AMC threw both its analysts and memestock shareholders for a loop this week after the company announced it was acquiring a 22 percent stake in a mining company. Not a crypto mining company - a company that mines actual silver and gold. It's a baffling investment for a movie theater chain, enough so that one analyst we spoke to called it a complete misuse of shareholder capital."

To acquire a minority stake in Hycroft Mining Holding Corporation, AMC is spending close to $28 million, a not-insignificant chunk of change for a company that not so long ago was teetering on the brink of bankruptcy. Hycroft, owner of the 71,000-acre Hycroft Mine in Nevada, is sitting on some 15 million ounces of gold deposits and some 600 million ounces of...

Continue reading...

External Content
Source RSS or Atom Feed
Feed Location http://www.theverge.com/rss/index.xml
Feed Title The Verge
Feed Link https://www.theverge.com/
Reply 0 comments