Connect with us

Hi, what are you looking for?

Oracle of  Omaha Says – Investing and Stock NewsOracle of  Omaha Says – Investing and Stock News


U.K.’s largest cinema chain is filing for bankruptcy

Cineworld Group plc (LON: CINE) ended nearly 60% down on Friday following reports the British cinema chain was preparing to file for bankruptcy.

Cineworld shares crashed to under 2 pence

The Wall Street Journal quoted anonymous sources and said the Brentford-headquartered company that owns Regal Cinemas will file under “Chapter 11” in the United States and is considering “insolvency proceedings” in the United Kingdom as well.

Cineworld is yet to make an official comment on reports of bankruptcy. At one point on Friday, shares of the London-listed firm that operates more than 9,000 screens across ten countries traded for as low as under 2 pence.

The entertainment conglomerate is working with lawyers from Kirkland & Ellis and restructuring consultants from AlixPartners through the bankruptcy proceedings.

At the end of 2021, Cineworld had $8.90 billion of net debt versus $1.80 billion in revenue only.

Box office remains dull even after the pandemic

Cineworld struggled with poor attendance for two years as the pandemic restricted movie fans to their homes.

Fewer blockbusters and added competition from “streamers” then weighed on hopes of a swift post-COVID recovery as well. In a recent statement, Cineworld confirmed:

Despite a gradual recovery of demand since re-opening in April 2021, recent admission levels have been below expectations.

Box office ticket sales are still down 30% versus 2019, which, as per the U.K.’s largest cinema chain, are unlikely to pick up significantly until late next year.

U.S. peers AMC and CNK were also down about 5.0% each on Friday.

The post U.K.’s largest cinema chain is filing for bankruptcy appeared first on Invezz.

Enter Your Information Below To Receive Free Trading Ideas, Latest News And Articles.

    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like

    Editor's Pick

    Tele2 AB today announces a new partnership with security experts EBS to deliver a secure and managed IoT connectivity solution. Tele2 will support EBS...


    Anyone who has filled up the tank of their car this year will be aware of the rollercoaster ride that the price of oil...

    Latest News

    Sen. Patrick Leahy “was not feeling well” on Thursday and was admitted to the hospital overnight for observation, his office said in a statement....

    Latest News

    Joe Manchin is forcing Democrats into a brutal choice: Take a deal now to lower the costs of health care premiums and prescription drugs,...

    Disclaimer:, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2023