AMC's Final Cut: Selling its Mining Bet to Fund a Cinema Revival

LEAWOOD, Kan. – December 05, 2025 – AMC Entertainment Holdings, Inc. has officially lowered the curtain on its unconventional foray into precious metals, selling the majority of its stake in Hycroft Mining for a net consideration of $24.1 million. The move, which transfers the investment to an entity owned by legendary gold investor Eric Sprott, signals a decisive strategic pivot for the world’s largest cinema chain, redirecting capital and focus back to its core theatrical business amid a recovering box office.

This transaction closes a curious chapter for AMC, a story that began in March 2022 when the company, still navigating the aftershocks of the pandemic, surprised markets by investing $27.9 million in the struggling Nevada-based gold and silver miner. Now, with this divestment, the narrative shifts from speculative diversification to a calculated reinforcement of its primary mission: filling seats in front of the big screen.

A Strategic Retreat to the Core Business

The sale is less a retreat and more a strategic redeployment. AMC is channeling the proceeds directly back into its foundational operations. As Chairman and CEO Adam Aron stated, “Now is the right time for us to smartly monetize the majority of our original investment and re-deploy the capital towards the substantial opportunities within our core theatrical exhibition business.”

While $24.1 million is a relatively modest sum against AMC's total debt, which stood at $8.27 billion as of October 2025, it represents a valuable injection of liquid capital. The funds arrive as the company executes a broader, more aggressive financial strategy. Throughout 2025, AMC has chipped away at its debt load, equitizing notes and refinancing to extend maturities. In October alone, it reduced its debt by nearly $40 million without using cash or issuing new shares, building on a larger $183 million reduction effort initiated in July.

This financial housekeeping is paired with strong operational performance. The company’s third-quarter 2025 results showed a 7.5% year-over-year increase in revenue per patron, a figure now sitting 47% above pre-pandemic 2019 levels. This was driven in part by record-setting food and beverage sales, demonstrating AMC's success in maximizing value from each moviegoer. The capital from the Hycroft sale will now fuel these proven strategies, supporting investments in signature recliner seats, premium large format screens, and other enhancements designed to lure audiences away from their streaming subscriptions.

The Final Act of a Meme-Stock Diversification

To understand the significance of this sale, one must look back to its origin. AMC’s initial investment in Hycroft was a product of a unique moment in corporate history. Flush with cash raised from its enthusiastic "meme stock" retail investor base, AMC ventured far outside its expertise. At the time, Aron justified the move by claiming AMC had developed a "core competency" in navigating liquidity crises and could lend this experience to the cash-strapped mining firm, which sat on an estimated 15 million ounces of gold and 600 million ounces of silver.

Eric Sprott’s parallel investment lent the move a veneer of credibility, but many analysts viewed it as a high-risk gamble—a corporate side-quest funded by the fervor of the market. The sale for $24.1 million, slightly below the initial $27.9 million cash outlay, might not look like a blockbuster return. However, AMC retains over a million warrants to purchase Hycroft shares, allowing it to participate in future upside.

In this context, Aron's description of the transaction as an "exceptional result" is telling. It was never about becoming a mining conglomerate. It was an opportunistic play that, having served its purpose and helped stabilize Hycroft, is now being cashed in to support the main show. The episode will likely be studied as a fascinating case of a company leveraging its unique market position to engage in unconventional capital allocation, with an outcome that ultimately serves to refocus the business.

Sprott's Gold Rush: A Vote of Confidence in Hycroft

While AMC steps back, Eric Sprott is doubling down. The transfer of AMC's shares to Sprott Mining is more than a simple transaction; it's a powerful endorsement of Hycroft's future. Sprott, a titan in the precious metals world, is known for his deep due diligence and contrarian bets on undervalued mining assets. His firm, Sprott Inc., manages nearly $50 billion in assets, specializing in this very sector.

Sprott's confidence is not new; it has been building all year. He has been systematically increasing his stake in Hycroft throughout 2025, pouring tens of millions into the company through private placements and open-market purchases. This sustained investment has coincided with a remarkable turnaround at the Nevada mine.

In 2024, Hycroft announced the discovery of new high-grade silver systems, including what it called "the best drill hole" in its 40-year history. Financially, the company has transformed its balance sheet, using raised capital to extinguish $125.5 million in liabilities and become effectively debt-free. With Sprott now a more dominant shareholder and AMC's CFO, Sean Goodman, remaining on the board to ensure continuity, Hycroft is better positioned than ever. It has shed a non-specialist investor and gained a deeply committed industry expert, a transition that aligns perfectly with its goal to "unlock the full potential of its vast gold and silver mineral resources."

Curtain Up on a Box Office Resurgence

The timing of AMC's strategic refocus is no coincidence. The company is positioning itself to capture the tailwinds of a widely anticipated box office recovery. After years of pandemic-induced disruption and competition from streaming, the theatrical exhibition industry is poised for its strongest performance in half a decade.

Industry analysts are projecting a significant uptick in ticket sales for the remainder of this year and into the next. Forecasts suggest the North American box office could surpass $9.8 billion in 2026, a 10% increase from 2025 and the first time it would cross the $9 billion threshold since 2019. This revival is being driven by a robust slate of blockbuster films that were delayed by production stoppages and are now primed for release.

Audiences can expect a steady stream of tentpole titles, including "Avengers: Doomsday," which is projected to earn up to $1.6 billion globally, and "The Super Mario Galaxy Movie," the sequel to a billion-dollar hit. This packed release schedule provides the essential content pipeline that exhibitors like AMC need to thrive. As Aron concluded, “With the backdrop of a strong Thanksgiving holiday box office, coupled with an exciting film slate for the remainder of 2025 and 2026, the future for AMC looks exceedingly bright.” The capital unlocked from the Hycroft sale, though not transformative on its own, is another crucial tool in ensuring the cinema giant is ready for its comeback story.