The MoviePass movie theater subscription service is looking shaky. The service’s parent company, Helios and Matheson Analytics, saw its stock plunge 11% to $2.27 on Friday, about half where it was a few days, earlier on news that it would sell $30 million in new shares at a cut-rate price. The offering is necessary because MoviePass has been bleeding money as it aggressively added subscribers with its cheap movie ticket subscription plans.
Earlier in the week, Helios and Matheson disclosed in a securities filing that it had advanced MoviePass nearly $100 million in cash in recent months, and its accountants expressed doubt in MoviePass’s ability to continue as a going concern. MoviePass has stopped offering its generous unlimited plan, which let people see up to one movie a day for $7.95 a month. The only way for new subscribers to join is via a three-month offer that includes just four movies per month and a subscription to iHeartRadio’s All Access for $39.95. It’s not clear when the unlimited plan will return, if ever.
MoviePass subscribers—many of whom have prepaid for an annual unlimited plan—are just hoping the show goes on long enough to take advantage of it.