Cineworld: Final curtain set to fall on dozens of cinemas as part of sweeping restructuring
Cineworld: Final curtain set to fall on dozens of cinemas as part of sweeping restructuring
According to reports, Cineworld is planning to shutter a quarter of its UK cinemas as part of a sweeping restructuring plan that could result in dozens of job losses.
The firm , which currently operates around 100 sites across the UK, including the upmarket Picturehouse Cinemas chain, is expected to announce the closures alongside a root-and-branch restructuring in which it will also renegotiate rents on over half of its remaining cinemas.
The plan, first reported by Sky News’s Mark Kleinman , is expected to be formally presented to the firm’s creditors – including landlords – in a matter of weeks.
The move is the latest development in a gruelling period for the world’s second-largest cinema chain.
In September 2022, the firm filed for bankruptcy in the US after lockdowns on both sides of the Atlantic left it in a tricky financial situation.
Last month, the chain, which as well as operating in the UK and US has a presence across Israel and central and eastern Europe, was reported to be open to a sale, having held initial talks with potential buyers.
The news from Cineworld comes on the same day that rival cinema chain Vue floated the prospect of an IPO in a bullish interview with the BBC’s Today .
The firm’s CEO, Timothy Richards, told the programme: “Studios’ commitment to film production [and cinema release] is, in my 35 years in the business, unprecedented. There is a wave of films coming, they’re just unfortunately not going to come this year.
“Films are breaking records in every genre… which shows we have a supply issue and not a demand problem.
“[Going forward] we would look at all opportunities strategically, which would include an IPO… in no less than 18 to 24 months.”
A spokeswoman for Cineworld told City A.M. : “We continue to review our options, but we don’t comment on rumours and speculation.”