Cineworld has abandoned plans to sell its operations in the United Kingdom, Ireland and the United States and will try to raise a new budget to emerge from bankruptcy.
The global film chain, whose brands include Regal, Cinema City, Picturehouse and Planet and operates around 750 locations worldwide, filed for bankruptcy in the United States last year.
However, the company announced it would aim to raise $2. 3 billion (£1. 8 billion) in new investments as part of a bankruptcy plan.
Cineworld has announced a debt restructuring plan with its lenders that expects its debt to be charged through $4. 5 billion.
To do this, the cinema chain will borrow a further $1460 million (£1200 million) in new credit and provide $800 million (£651 million) of equity to its lenders.
Cineworld says it will aim for the restructuring to be completed in the first part of this year.
When it filed for bankruptcy in September, Cineworld had about $8. 8 billion.
In a statement, Mooky Greidinger, lead executive at Cineworld, said: “This agreement with our lenders represents a ‘vote of confidence’ in our business and moves Cineworld towards achieving its long-term strategy in a converting entertainment environment. “
“With a developing slate of blockbusters and a growing number of audiences returning to theaters, Cineworld is poised to continue to offer moviegoers the most immersive cinematic reportage and its position as ‘the best position to watch a movie. ‘”
Earlier this year, Cineworld presented a procedure to a prospective buyer, but after suffering a suitable offer, it will now impede potential sales efforts.
However, it will continue to auction its operations outside the United Kingdom, Ireland and the United States.
It operates in Poland, the Czech Republic, Slovakia, Hungary, Bulgaria, Romania and Israel.
Cineworld has shown that it will continue in the industry as always this process.
Along with cinema chains, Cineworld has been hit hard by the Covid-19 pandemic and the lockdowns that have been introduced.
Most sensitively, Cineworld has had to deal with the added strain of having to compete with streaming services.
The cinema chain operates 103 cinemas under the Cineworld logo in the UK and the Republic of Ireland.
Cineworld also has 26 other Picturehouse-branded cinemas.
Get our money-saving tips and offers straight to your inbox with the Mirror Money newsletter