Cineworld is considering shutting down a quarter of its cinemas in the UK, as it draws up plans for a restructuring deal.

Sky News reports that the company, which until last year was listed on the London Stock Exchange, is considering closing about a quarter of its 100 sites. Cineworld would aim to renegotiate rent agreements at a further 50 sites.

The insolvency mechanism employed by the cinema operator is expected to be a restructuring plan rather than a company voluntary arrangement (CVA).AlixPartners is said to be acting as an adviser for the process.

Cineworld commented, “We continue to review our options but we don’t comment on rumours and speculation.”

The business grew under the leadership of the Greidinger family into a global giant of the industry, acquiring chains including Regal in the US in 2018 and the British company of the same name four years earlier.

Its multibillion dollar debt mountain led it into crisis, though, and forced the company into Chapter 11 bankruptcy protection in 2022. It delisted from the London Stock Exchange last August, having seen its share price collapse amid fears for its survival.

Under the deal struck last year, several billion dollars of debt were exchanged for shares, with a significant sum of new money injected into the company by a group of hedge funds and other investors.

Cineworld also operates in central and Eastern Europe, Israel and the US.