The exhibition company’s stock is down about 6.7% in initial after-market trading following its announcement that it will boost its outstanding shares by nearly 31%. Carmike will issue 4M shares — diluting the value of current stock holdings. The company says it will use the cash raised from the sale of the additional stock for “general corporate purposes.” Carmike is taking advantage of the 111.8% increase in its stock price since the beginning of the year. It expects to report admissions revenues of as much as $84M for Q1, which would be up 37% vs the same period last year. Attendance in the first part of this year came close to 12.3M, up 30.9%. Carmike has said that it wants to strengthen its balance sheet. Debt covenants currently limit its spending to $25M. That could hamper its ability to build additional large-sized screens — Carmike’s BigD theaters give it an alternative to Imax. Meanwhile Carmike’s stock has been unusually volatile: With about 13M shares outstanding, minor changes in its net profits can result in big swings in its earnings per share. Carmike says that it “continues to evaluate refinancing opportunities” that could include taking on additional debt. Along with the announcement about the refinancing, the company said that the board nominated Neenah Paper Chairman Sean Erwin to become a director, replacing Carmike COO Fred Van Noy who will not be up for re-election.