Cineworld (LON: CINE) share price has remained highly volatile this year. The merger rumors and the ongoing bankruptcy proceedings have kept the investors on their toes. After an 82% rally at the start of 2023, the shares of Cineworld Cinema are currently at their historic lows.
On Thursday, Cineworld share price remained highly volatile. The stock of the largest cinema chain operator in Brittain opened lower today but turned green during the initial hours of trading. The benchmark index, FTSE 100, also turned green today and was up 14 points.
Cineworld Cinema Changes Its Course
According to the most recent Cineworld news, the company has decided not to go ahead with its plan to sell businesses outside US, UK, and Ireland. The move came after the received proposal failed to meet the lender’s required value. Since the start of the bankruptcy proceedings, the company has failed to gain a relevant offer for its US & UK assets. Most of the buyers were interested in its Eastern European and Israeli sites.
The cineworld share price has plummeted to its all-time low as its latest restructuring plan is set to wipe out shareholders. The cinema operator intends to restructure its $5 billion debt to come out of bankruptcy later this year. This will enable the company to start afresh across its 750 global sites.
Cineworld Share Price Likely To Stay Below 2p
The daily chart of LON: CINE depicts an unfortunate situation for the investors of the theatre-chain operator. Since the start of its bankruptcy proceedings, the shares have seen massive volatility spikes due to several rumors. However, the price has recently broken below a major support level of 1.9p which is a sign of a massive capitulation.
As long as it remains below 2p, Cineworld share price forecast will remain extremely bearish, with a new all-time low on the cards. In light of the recent proceedings, it will be very tough for the company to gain investor faith once again any time soon.
In the meantime, I’ll keep sharing updated outlook on LON: CINE in my free Telegram group that you’re welcome to join.
