AMC Entertainment CEO Adam Aron sold 625,000 shares on Tuesday, half of what he ultimately plans to dump under a selling program filed with the Securities and Exchange Commission.
The sale is part of the executive’s estate planning ahead of his 67th birthday next year, Aron told investors last August. He reiterated those plans during an earnings call with investors and analysts on Monday.
The share sale was disclosed on the SEC’s website after the bell Wednesday. The stake was sold at an average price of $40.53, giving it a value of about $25 million.
AMC shares fell 4% on Wednesday to close at $38.29, and were down another 3% in after hours trading.
Earlier in the day, Aron’s share plans were disclosed in a separate filing that appeared on a section of the SEC website that displays paper forms submitted via email.
The form gave Aron the right to sell the entire 1,250,000 share stake now, or over a period of coming days, weeks and months, said Ben Silverman, director of research at InsiderScore.
With the new filing after the bell, investors learned he had already dumped half the stake the day before.
Aron currently holds around 400,000 shares of unrestricted stock and 3.3 million shares of unvested restricted stock. This suggests that he needs to wait until some of that restricted stock vests in order to complete the sale of all 1.25 million shares, Silverman said.