Cineworld yet to receive any firm offers for whole business, shares slump

(Sharecast News) - Cineworld slumped on Wednesday after it emerged the cinema chain has yet to receive any firm offers for the whole business.

According to reports, Cineworld's bankruptcy attorney Joshua Sussberg said in a hearing on Tuesday that the company's outreach to 40 potential buyers had led to "many" offers for the rest-of-world assets but only "some strategic interest" in the entire company.

Sussberg said the group - which owns the Regal cinema chain in the US an Cineworld and Picturehouse in the UK and Ireland - did not receive any all-cash bids, and no bid came anywhere near the $6bn of secured indebtedness on the company's balance sheet.

The final deadline for a bid is set for 10 April.

At 1430 GMT, the shares were down 13% at 3.89p.

Cineworld filed for bankruptcy protection in the US last September. The filing involved businesses in the US, UK and Jersey and Cineworld said the Chapter 11 restructuring process was expected to significantly reduce debt and strengthen its balance sheet and liquidity position.