Cineworld eyes bankruptcy exit in July

STORY: Cineworld says it will likely emerge from Chapter 11 bankruptcy protection in July.

The world's second largest movie theatre chain filed for U.S. bankruptcy protection in September, when it hoped to restructure its massive debt.

But the company, which owns Regal in the U.S., gave up plans to sell some or all its businesses after it couldn't find a buyer.

It instead chose a restructuring plan that will wipe out shareholders.

The British cinema chain said Thursday (May 25) most of its lenders supported the plan.

Shares in the company will likely be delisted after the bankruptcy process.

The stock has lost almost its entire value since hitting a peak of 310 pence, or about $3.80, six years ago.

Cineworld was hit hard during the health crisis when cinemas were shut and blockbuster movies stopped being released.

That came after years of expansion for the company through acquisitions which loaded its balance sheet with debt.

It also abandoned its plan to take over rival Cineplex.

But that led to a $919 million damages claim for walking away from the deal.

Earlier this month, Cineworld received U.S. court approval to raise $2.26 billion as part of its bid to exit bankruptcy.