Stock Alert: AMC Networks Jumps 20% After Announcing Major Stock Buyback; Chairman Dolan Steps Down

(RTTNews) - Shares of AMC Networks Inc. (AMCX) are currently up 20% on Wednesday morning. Last day, the TV network and entertainment company announced its Financial Chief Sean Sullivan is leaving to take up a senior role at another company. The company also announced a major stock buyback and said the 93-year-old Charles Dolan will step down as executive chairman.

AMCX is currently trading at $25.02, up $4.25 or 20.46%, on the Nasdaq.

The cable networks operator said it is planning a modified Dutch-auction tender offer and will purchase as much as $250 million of its Class A shares, at a price per Class A Share of not less than $22.50 and not greater than $26.50.

The company also announced that its Executive Chairman Charles Dolan is stepping down from that position to become Chairman Emeritus and that James Dolan has been elected as the Non-Executive Chairman of the Board of Directors.

"AMC Networks has a strong financial position and the proposed tender offer is a significant expression of strength and the Board's confidence in our company's future," said Josh Sapan, president and chief executive officer.

Meanwhile, Sullivan will remain with AMC Networks through mid-October and the company will appoint an interim CFO or a successor prior to his departure.