Second-biggest global exhibitor Cineworld has said it has not had discussions about selling cinema assets to number one rival AMC and is looking to sell itself as a whole after filing for Chapter 11 bankruptcy in the US last September.
The declaration from Europe-based Cineworld comes after US-based AMC said in a December filing that it had had talks with Cineworld about cinemas in the US and Europe.
In a statement issued “in light of recent media reports,” Cineworld said that “neither it nor its advisers have participated in discussions with AMC Entertainment Holdings…regarding the sale of any of its cinema assets.”
The statement added that while it develops a capital restructuring plan Cineworld “will also run a marketing process in pursuit of a value maximizing transaction for the Group’s assets, focused on proposals for the Group as a whole.” The process of reaching out to potential buyers is expected to begin this month.
The company, the statement went on, “has not initiated and does not intend to initiate a separate marketing process for the sale of any of its assets on an individual basis.”
Cineworld became the world’s number two circuit after acquiring chains including Regal Cinemas in the US and Picturehouse in the UK. It has amassed more than 9,000 screens in 10 countries, operating in the UK, Ireland, Poland, the Czech Republic, Slovakia, Hungary, Bulgaria, Romania, Israel and the US.
The company’s finances were devastated by the Covid pandemic and as of June last year it reported debts of $5.2bn, not counting lease liabilities.
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