Glasgow Parkhead Cineworld will be shutting down alongside four other UK branches of the cinema despite successfully staving off the threat of administration in a High Court appearance.
The Scottish cinema, which is located in the Forge Shopping Centre, is set to shut this weekend on October 6 after 19 years. The cinema first opened its doors as Cannon Cinemas in 1989, making it Glasgow’s first modern multiplex cinema.
Following a High Court ruling on October 1, restructuring plans for four of its companies – Cine-UK Ltd, Cineworld Cinemas Ltd, Cineworld Cinema Properties Ltd and Cineworld Estates Ltd – were approved, the Mirror reports.
This means that £16million of fresh equity will be injected from their indirect parent company to meet immediate financial needs, with a potential additional £35million in the pipeline.
Despite this financial lifeline, five cinemas are set to close: Glasgow Parkhead, Bedford, Loughborough, Yate and Swindon Regent Circus.
The timeline for these closures is yet to be confirmed. However, Cineworld Hinckley, which was previously marked for closure, will now remain open.
Full list of Cineworld cinemas closing permanently
- Glasgow Parkhead (closing October 6)
- Bedford (closing October 6)
- Swindon Regent Circus (closing October 6)
- Loughborough (closing October 13)
- Yate (closing October 13)
Stuart Bray, leader of Hinckley and Bosworth Borough Council, welcomed the news, stating: “This is excellent news for the town, for the taxpayer, for Cineworld employees and for local businesses.
“Not only does it safeguard the future of this great facility in Hinckley town centre it also ensures the taxpayer continues to receive a rental income from Cineworld which helps to fund our public services.
“High Streets up and down the country are facing challenging times, but Hinckley is bucking that trend with retail occupancy rates and footfall above the Midlands average along with a great range of independent and national businesses. We want it to stay that way, so we’ve taken the necessary action to ensure we do that.
“The amount of interest we’ve had from alternative cinema operators for this site shows that keeping the facility is the right decision. I thank those operators for coming forward and for the interest they have shown in Hinckley.”
The world’s second-biggest cinema chain was teetering on the edge of collapse without their approval, the hearing learned. The four companies, responsible for 101 sites and employing 4,401 staff, are part of a larger group which includes cinema operations across 10 countries, like the US where they’re known as Regal Cinemas.
After the verdict, a representative for Cineworld expressed their satisfaction: “We are pleased the court has approved our restructuring plan. This will enable us to re-set the business for the long-term and ensure a sustainable future for Cineworld in the UK.
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