(Yicai Global) March 15 -- Wanda Group has relinquished control of AMC Entertainment Holdings, paring its stake to less than 10 percent, after the world’s biggest movie theater chain reported a record USD4.6 billion loss for last year.

The private Chinese conglomerate’s stake in AMC was 9.8 percent as of March 3, the US-based cinema operator’s annual report showed on March 12. But Wanda remains its single largest investor and will continue to have a significant influence through two board seats, the report said.

Beijing-based Wanda paid USD2.6 billion for all of AMC in 2012 and listed it on the New York Stock Exchange in December 2013. Wanda had cut its holding several time in recent years and trimmed its stake further last month by converting all outstanding Class B common stock into Class A common stock, the report said.

AMC lost about USD4.6 billion in fiscal 2020 as revenue plunged 77 percent to USD1.24 billion because of the temporary closure of theaters amid the Covid-19 pandemic. It had a loss of USD149 million in 2019.

With the pandemic easing, as of March 5 AMC was operating 527 of its 589 cinemas in the US and 78 of its 356 leased and partnership theaters around the world.

AMC expects attendance levels to surge from the third quarter of this year. It forecasts a return to 90 percent of pre-Covid-19 levels by the fourth quarter as vaccine rollouts continue worldwide and more Hollywood movies are released.

Editor: Peter Thomas