Cineworld recently said post-Covid customers levels were lower than expected and blamed “limited” film releases.
The Wall Street Journal reported that Cineworld is preparing to file for bankruptcy, sending its share price tumbling.
Cineworld said “despite a gradual recovery in theater attendance since last year, recent admissions have lagged below expectations.”
The London-based chain narrowly escaped bankruptcy in 2020 after landing a lifeline from creditors while its nearly 800 theaters were shut due to Covid-19 restrictions.
Cineworld was founded in the U.K. in 1995 and acquired the Regal chain in 2018 for $3.6 billion. It is the second-largest cinema chain in the world behind AMC.