UPDATE 3-Cineworld could breach debt terms in worst-case virus scenario

* Cineworld to press ahead with Cineplex takeover

* In worst case, cinemas may close for three months, company
says

* Shares down almost 50% since start of year
(Adds graphics)

By Tanishaa Nadkar

March 12 (Reuters) - Cineworld could fail to meet
its debt commitments in a worst-case coronavirus scenario, it
warned on Thursday, though it plans to press ahead with its
$1.65 billion takeover of Canadian rival Cineplex.

The London-listed company operates about 9,500 screens
globally, with more than 7,000 in the United States, where it
generates three quarters of its revenue. The Cineplex deal
announced three months ago will make Cineworld the biggest
cinema operator in North America.

But Cineworld, the biggest shareholder of which sold part of
its stake on Monday to refinance debt, is also grappling with
worries over the impact of the coronavirus pandemic and investor
short-selling on concerns over the company's debt position.

Shares in the company plunged nearly 49% on Thursday to
their lowest in more than 10 years at 45.59 pence.

Cineworld said that in a worst-case scenario it might have
to close all cinemas for up to three months.

Though it said this would be unlikely, it added that the
potential indicates "the existence of a material uncertainty
which may cast significant doubt about the group's ability to
continue as a going concern".

Jefferies analysts previously estimated that the company was
burning about $115 million a month, had $470 million in readily
available cash and could deal with four months of all cinemas
being closed.

Cineworld's debt stands at $3.5 billion, excluding leases,
with additional financing of about $2.2 billion for Cineplex as
it begins to pay for the deal announced only a couple of years
after its $3.6 billion acquisition of Regal Cinemas.

"We have a legal contract with Cineplex; we are committed to
the deal," Cineworld finance chief Nisan Cohen told Reuters.
"It's a very attractive deal, very strong synergies and there is
no changing the plan".

If Cineworld were to abandon the deal, it could face a fee
of up to 28.3 million pounds ($36.1 million).

The company expects the deal to be completed in the first
half of 2020, but JP Morgan analysts expect it to be delayed.

Cineworld reiterated that the coronavirus outbreak has so
far had no material impact on its theatre admissions, but that
could change with the delayed release of films such as the new
James Bond movie.

Cohen emphasised that delayed releases would merely push
back attendance by movie-goers until later in the year, with the
company saying it is excited about forthcoming films such as
"Black Widow", "Wonder Woman 1984" and "Top Gun Maverick".

($1 = 1.3777 Canadian dollars)
($1 = 0.7843 pounds)

(Reporting by Patrick Graham and Tanishaa Nadkar in Bengaluru
Editing by David Goodman)