The beleaguered cinema group Vue International is considering a flotation in London in a major boost for the sector.
Chief executive Tim Richards said he was looking at ‘all opportunities’ for the British group, which could include an initial public offering (IPO).
Vue has suffered as it faces a slow comeback from the pandemic, which has been worsened by the Hollywood actors and writers’ strike.
Europe’s largest independent cinema operator carried out a debt restructuring in January –its second in less than 18 months.
Empty seats: Cinema group Vue has suffered in recent years as it faces a slow comeback from the pandemic – worsened by the Hollywood actor and writers’ strike
But Richards said it was now in ‘very good shape’ and was focused on ‘rebuilding and laying down the foundations for the future’.
On whether this would mean a listing in the UK in the next two years, he said: ‘We will look at all opportunities strategically – which would include a float.’
But he added: ‘The business needs to wait to return to normal before it decides to make the next step.’
The company, which employs more than 8,000 people, anticipates the move could take place in 2025.
The industry was thrown into crisis during the pandemic when it was forced to shut its doors and furlough thousands of people.
And just when the cinema chain was getting back on track, it was hit by the actors and writers’ strike, which was held by members of the Writers Guild of America and the Screen Actors Guild – American Federation of Television and Radio Artists.
This brought production to a virtual standstill, delaying many big movies into 2025 and 2026 rather than this year.
Richards said there were 35 per cent fewer films released in 2022 than before the pandemic and a fifth fewer in 2023.
This compared with the period between 2017 and 2019 when there were three consecutive box office world records set.
This summer, major releases include Despicable Me 4 and A Quiet Place: Day One.
Richards’ comments came on the same day as its larger rival Cineworld was drawing up plans to cut dozens of cinemas as part of a radical restructuring.
The group is considering shutting about a quarter of its 100 or so sites in the UK, according to Sky News.
The company delisted from the London Stock Exchange last August after concerns mounted over its share price.
Cineworld said yesterday: ‘We continue to review our options but we don’t comment on rumours and speculation.’
Across the Atlantic, Odeon Cinema owner AMC Theatres has also seen its share price collapse amid low box office takings. Shares have collapsed nearly 90pc in the past year.
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