Cineplex approaches rival Cineworld's U.S. franchise for potential merger

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Cineworld has been struggling to rein in massive debt and this month filed for bankruptcy in the U.S. Read more.

Cineworld and Cineplex have been locked in a multimillion-dollar legal battle since the London-listed company rescinded its offer to buy Cineplex more than two years ago. Cineworld has since been struggling to rein in massive debt and this month filed for bankruptcy in the United States.Sign up to receive the daily top stories from the Financial Post, a division of Postmedia Network Inc.By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc.

Shares in Cineworld rose as much as 11.1 per cent to three pence on the report before changing course. By 1045 GMT the shares were down about four per cent. Cineworld declined to comment on the report. Cineplex and Cineworld’s restructuring adviser Alix Partners and financial adviser PJT Partners did not respond immediately to a Reuters request for comment.Article content

 

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