AMC APE Holder Loses Bid to Enter Stock Conversion Court Fight

An attorney owning a large number of AMC Entertainment Holdings Inc.'s preferred equity units, called APEs, lost his bid to join a legal battle over the company’s alleged plan—approved a day earlier—to sideline retail investors.

Vice Chancellor Morgan T. Zurn denied Frank Iacono’s motion to intervene in the case, saying his interest in having the dispute resolved earlier than an April 27 court hearing—which stems from options expiring April 21 that Iacono bought as a hedge—is too indirect.

The court fight comes two years after investors coordinating through Reddit saved AMC from the brink of bankruptcy in a surprising “meme ...