Cineplex doesn’t expect to recoup any material amount of the $1.24B owed by Cineworld

TORONTO –

Cineplex Inc. says it doesn’t anticipate to recuperate any materials quantity from U.Ok.-based Cineworld Group PLC, its once-suitor which owes the Toronto film theatre chain $1.24 billion.

U.Ok.-based Cineworld entered right into a restructuring settlement with a few of its lenders final week and filed a proposed Chapter 11 plan of reorganization Tuesday.

If Cineworld’s plan receives creditor and court docket approvals, Cineplex says it would solely be entitled to distributions from a common unsecured claims pool.

Cineworld walked away from a $2.18-billion deal to purchase Cineplex in 2020, sparking a court docket battle over whether or not Cineworld had the appropriate to get out of the deal.

An Ontario court docket dominated in Cineplex’s favour in December 2021, awarding the corporate $1.24 billion in damages, however Cineworld mentioned it could attraction the judgment and Cineplex needed to push for a good greater payout.

Cineplex additionally mentioned Tuesday it recorded its highest ever field workplace for the primary 10 days of April, because it topped $30 million in contrast with $14 million in the identical interval in 2019.

This report by The Canadian Press was first revealed April 12, 2023