Cineworld update on future as UK business sale halted

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Cineworld has issued an update on its future

Cineworld, which has a prominent Nottingham city centre outlet, has issued an update on its future. The debt-ridden cinema chain has halted the sale of its UK and US operations amid debt restructuring. The firm has said it will raise 2.26 billion US dollars in new funding as part of a plan to exit bankruptcy and terminate a planned sale of its US, UK and Irish businesses.

It has now said it will restructure its roughly five billion dollar debt pile in order to emerge from the Chapter 11 bankruptcy during the first half of 2023, according to PA news agency. The financial restructuring will involve lenders providing around 1.46 billion dollars in new credit, as well as 800 million dollars of equity to the lenders.Cineworld first announced that it had filed for bankruptcy in America due to issues including declining audience numbers after the coronavirus pandemic.

“With a growing slate of blockbusters and audiences returning to cinemas in increasing numbers, Cineworld is poised to continue offering moviegoers the most immersive cinema experiences and maintain its position as the ‘best place to watch a movie’.”

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