Cinema chain operator Cineworld Group wants to close roughly a quarter of its 100 sites in the UK and negotiate rent reductions at another 50 as part of a radical restructuring, Sky News reported today.
The restructuring comes after Cineworld’s massive debt forced the group to file for administration in Britain last year and suspend trading on the London Stock Exchange.
The group is expected to formally outline the proposals to creditors including landlords in the coming weeks, Sky News reported citing sources.
The insolvency mechanism employed by the cinema operator was expected to be a restructuring plan rather than a company voluntary arrangement, the report added.
“We continue to review our options but we don’t comment on rumours and speculation,” a Cineworld spokesperson said in an emailed response to Reuters.