Cineworld shareholders set to be wiped out as firm expects to exit bankruptcy

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy Cineworld hopes to be back from bankruptcy protection before the middle of the year, but the debt-ridden business expects any deal with its creditors will wipe out its shareholders. The world’s second-largest cinema chain said Friday that it had been approached by “a number” of potential suitors, but none of them had been willing to pay in cash to buy the whole business. It is not expected that any sale transaction will provide any recovery for the holders of the company’s equity interests Cineworld On Friday, Cineworld said: “The company has now received non-binding proposals from a number of potential transaction counterparties for some or all of the group’s business. “The company is reviewing such proposals in conjunction with its advisers and key stakeholders and, whilst no decision has been made as to whether to pursue a sale transaction, and the terms of any such transaction remain uncertain, based on the proposals received to date, it is not expected that any sale transaction will provide any recovery for the holders of the company’s equity interests.” Cineworld entered bankruptcy protection in September, weighed down by heavy debts accumulated in part during Covid-19.