The coronavirus health crisis has affected many industries and economies around the world. Health experts warn that a resurgence of the pandemic may happen if various measures are not implemented by authorities and governments all over the world.
No industry has been spared by the downtime including the cinema space. In that context, many cinema companies are looking for ways to create safe spaces for their clients as they gradually reopen their stores and halls. On its part, Cineworld Group PLC (LON: CINE) has agreed to a new US$250 million secured debt facility. This debt is scheduled to mature in three years as the company heads into an uncertain future amid the COVID-19 crisis.
This US and UK-focused cinema operator has agreed to the terms of the new loan with a group of private institutional investors. The move comes ahead of the planned reopening of all the company’s cinemas by the end of July. Cineworld also agreed US$110mln of extra liquidity with several other creditors in late May.
The cinema company noted that other cinema chains are starting to reopen around the world. These reopenings indicate that this method of watching films is still popular and it will operate even during this pandemic.
Cineworld venues in the United Kingdom and the United States will start showing films from July 10. That date coincides with the release of several blockbuster films including Tenet and Mulan. The release date for several films has now been confirmed to take place in the coming weeks.
The first of the Group’s cinemas will open in Slovakia and the Czech Republic on June 26. They will be followed by Bulgaria and Poland on July 3 and then Israel on July 9.