MoviePass just got a big new rival.
On Wednesday, June 20, AMC Entertainment Holding Inc. (AMC - Get Report) announced that it will be releasing a new tier to its AMC Stubs loyalty program called AMC Stubs A-List. It will allow subscribers to see up to three movies a week for $19.95 a month. The subscription will also enroll customers in the AMC Stubs rewards program, meaning that customers can receive free upgrades on popcorn and soda.
The program will compete with MoviePass, which is owned by Helios & Matheson Analytics Inc. (HMNY) .
According to AMC's press release, "AMC Stubs A-List can be used at the spur of the moment or also can make planning ahead days or weeks in advance possible, as securing tickets is made easy via reservations capabilities on the AMCTheatres.com web site, or on the AMC Theatres smartphone app."
On Tuesday, June 19, Helios & Matheson announced in an SEC filing that it was planning on holding a stockholders meeting in July. The company will allow shareholders to vote to increase the amount of common stock to two billion from 500 million. Helios & Matheson will also have shareholders vote on a one-time stock split "of common stock at a ratio of 1 share-for-2 shares up to a ratio of 1 share-for-250 shares, which ratio will be selected by the Company's Board of Directors." The response to the suggested meeting sunk the stock over 20%.
In afternoon trading on Wednesday, AMC was up about 1% while Helios & Matheson shares plunged further to nearly 30% to $0.32. Year to date, Helios shares are down almost 95%.