Cineworld is planning to close about a quarter of its roughly 100 British multiplexes as part of a radical restructuring, which also includes significant rent cuts at around 50 additional locations. The remaining 25 sites will not be affected.
These proposals are expected to be presented to creditors, including landlords, in the coming weeks. The restructuring plan will use a formal mechanism rather than a company voluntary arrangement (CVA). Cineworld’s spokesperson declined to comment on the speculation.
Previously listed on the London Stock Exchange, Cineworld has been in talks for potential sales and has now moved to a formal restructuring process, with advice from AlixPartners.
If enough landlords reject the proposed terms, other cinema operators might step in to take over some of Cineworld’s sites. The company operates over 100 sites in Britain, including the Picturehouse chain, and employs thousands, though the exact figures were not confirmed.
Cineworld expanded significantly under the Greidinger family, acquiring Regal in the US and a British company, but its multibillion-dollar debt led to a crisis, resulting in Chapter 11 bankruptcy protection in 2022.
Following its bankruptcy, Cineworld delisted from the London Stock Exchange, exchanged several billion dollars of debt for shares, and received new investments from hedge funds and other investors.
The company has since appointed new leadership, with Eduardo Acuna as CEO and Eric Foss as chairman. Cineworld continues to operate in central and Eastern Europe, Israel, and the US, and is gearing up for major summer film releases in Britain, including “Despicable Me 4,” “A Quiet Place: Part One,” and “Alien: Romulus.”
