Is Cineworld closing its cinemas in Birmingham?

The conglomerate, based in Londonto 128 cinemas across the UK and Ireland – including two in Birmingham. There are 751 in total in the world. After AMC Theatres, it is the second largest cinema chain in the world.

Here’s everything you need to know, including why cineworld is struggling, what it could mean for the Birmingham branches and the company’s current share price.

In a statement, the company said: “Despite a gradual recovery in demand since reopening in April 2021, recent admission levels have been below expectations.

“These lower admissions levels are due to a limited film slate which is expected to continue through November 2022 and is expected to negatively impact trading and the group’s liquidity position in the near term.”

The company was struggling with $4.8bn (£4bn) in debt at the end of last financial year.

Cineworld said: “The group’s commercial operations should not be affected by these efforts and Cineworld expects to continue to meet its ongoing commercial counterparty obligations.

“Cineworld continues to welcome guests to its theaters in its global markets as usual, without interruption.”

Cineworld’s market value almost halved on Wednesday, but things got worse on Friday as the stock price fell more than 81%.

It is currently valued at an incredibly low 1.8 pence per share.

Prior to the COVID-19 pandemic, Cineworld traded at £1.97 and held a market value of £4.4bn, down 88% as the company is now priced at £50m.

As of now, neither Cineworld Birmingham Broad Street nor Cineworld Birmingham NEC have made any official statement about what will happen to cinemas once Cineworld files for bankruptcy.

Cineworld said that “the group’s commercial activities should not be affected by these efforts and Cineworld expects to continue to meet its ongoing commercial counterparty obligations.

“Cineworld continues to welcome guests to its theaters in its global markets as usual, without interruption.”