Cineworld’s market value more than halved after the world’s second-largest cinema chain said it was in talks with stakeholders about a financial rescue package, blaming a lack of blockbuster films for lower-than-expected admissions.
In July, lenders took control of Vue International, the UK’s third-largest cinema chain, as part of a £1bn debt restructuring deal that saw its owners’ stake wiped out.
The company, which has a $12.8bn market value, said July had the highest monthly attendance in US cinemas since before the pandemic.
“Despite a gradual recovery of demand since reopening in April 2021, recent admission levels have been below expectations,” Cineworld said.