Cineworld Reveals $250 Million Revolving Credit Facility, Administration Approved by Board, Listing Suspended

variety.com:

Naman Ramachandran The Cineworld cinema chain has secured a new revolving credit facility of $250 million as part of its restructuring process.

The restructuring will “transform the group’s balance sheet and provide it with significant additional liquidity to fund its long-term strategy,” Cineworld said.

It will involve the release of approximately $4.53 billion of the group’s funded indebtedness, the execution of a rights offering to raise gross proceeds of $800 million and the provision of $1.71 billion in new debt financing, which “includes a new revolving credit facility of $250 million that has been secured since the company’s previous announcements,” the group revealed in a statement on Friday.

The restructuring does not provide for any recovery for holders of Cineworld’s existing equity interests, the group said. The restructuring continues with the board of directors approving the decision to appoint administrators.