Cineworld (CINE.D) is engaged in discussions regarding a potential sale as part of a strategic review that might lead to significant restructuring, according to a report by Sky News on Saturday, which cited unnamed sources.
The company, which owns brands such as Regal, Cinema City, Picturehouse, and Planet, has enlisted AlixPartners as a consultant to explore the potential disposal of its UK operations.
The sale process is anticipated to continue for several weeks.
Less than a year ago, Cineworld emerged from Chapter 11 bankruptcy after filing for U.S. bankruptcy in 2022 to restructure its debt.
Alongside the possible sale, the company is also evaluating alternative strategies, including a company voluntary arrangement (CVA).
This option could jeopardize an unspecified number of its UK cinemas with the risk of closure, Sky News reported.
A Cineworld spokesperson commented, “Like many businesses, we are continually reviewing our UK operations.”
Cineworld and AlixPartners have not yet responded to Reuters’ request for comments.