MoviePass said a $300 million lifeline could sustain it for over a year, but that money could slip through its fingers (HMNY)

MoviePass CEO Mitch Lowe and Helios and Matheson Chief Executive Ted Farnsworth.MoviePass/Reuters

  • MoviePass has repeatedly said it’s not worried about sustaining further losses because it has a $ 300 million “equity line of credit” that could keep it going for over a year.
  • Financial experts, however, say the financial instrument described by MoviePass CEO Mitch Lowe is not what is generally considered to be an equity line of credit and is subject to the whims of the public market.
  • To access that money, MoviePass will have to convince investors of its long-term viability and potential for profit.
  • On Wednesday, MoviePass’ parent company, Helios and Matheson Analytics, was trading at an all-time low of $ 0.46, down more than 98% from its 52-week high, with a market cap under $ 39 million. 

Don’t worry, everything is fine.

That has been the message from MoviePass and its parent company, Helios and Matheson Analytics, in recent weeks as the company’s financial health has become a topic of heated debate.

See the rest of the story at Business Insider

NOW WATCH: Mark Cuban and Barbara Corcoran invested $ 400,000 in this avocado-only restaurant

See Also:

SEE ALSO: Demand for TV ads ‘has never been higher,’ and it could give the TV business one last windfall

Post Author: martin

Avatar
Martin is an enthusiastic programmer, a webdeveloper and a young entrepreneur. He is intereted into computers for a long time. In the age of 10 he has programmed his first website and since then he has been working on web technologies until now. He is the Founder and Editor-in-Chief of BriefNews.eu and PCHealthBoost.info Online Magazines. His colleagues appreciate him as a passionate workhorse, a fan of new technologies, an eternal optimist and a dreamer, but especially the soul of the team for whom he can do anything in the world.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.