Debt-laden exhibition giant Cineworld is considering bankruptcy after admitting to low admissions, according to reports.
The company, which owns Regal Cinemas in the U.S., has hired lawyers from Kirkland & Ellis LLP and consultants from AlixPartners to advise on the bankruptcy process, the Wall Street Journal said, citing people familiar with the matter.
“Cineworld is expected to file a chapter 11 petition in the U.S. and is considering filing an insolvency proceeding in the U.K.,” the Wall Street Journal said.
“All of our Cineworld and Regal theatres are open for business as usual, and we continue to welcome our guests and members to our cinemas globally,” Cineworld said in a statement. “As we announced earlier this week, we are proactively evaluating strategic options to ensure we have the balance sheet strength and flexibility to adapt to market conditions, and that process remains ongoing. We are committed to our customers’ experience and to being the ‘Best Place to Watch a Movie.’ ”
Source:Variety