AMC Pays 400pc Premium for Gold Miner Stake

ZH: Hycroft Mining Shares Rocket After AMC Theaters Takes A 22% Stake

AMC wrote in a press release this morning that it is "buying 22% of Hycroft Mining Holding Corporation which holds the 71,000 acre Hycroft Mine in northern Nevada".

"Independent third-party studies confirm that the Hycroft Mine has some 15 million ounces of gold resources and some 600 million ounces of silver resources. In addition, AMC will receive an additional 23.4 million warrants in Hycroft at $1.07 per share," it told its shareholders.

AMC invested alongside of well known metals expert Eric Sprott: "We are joined in this investment by Eric Sprott, one of the world’s most acclaimed and most successful gold and silver investors, who is taking an equal 22% stake in Hycroft alongside us. His co-investment underscores our confidence that we have found a profound and unique opportunity for AMC."

AMC could have bought shares at 30 cents last week, but is paying nearly $1.20 per share in a private placement.