The owner of the movie theater chain CMX Cinemas filed for bankruptcy due to the financial impacts of coronavirus.
Miami-based Cinemex Holdings USA filed for Chapter 11 bankruptcy on Saturday in Miami. The company is owned by Mexico-based Grupo Cinemex SA de CV, which controls CMX Cinemas with 41 locations in the Midwest, Northeast and the South, including one at Brickell City Centre in Miami, according to its website. It also acquired Cobb Theatres in 2017, and has locations at CinéBistro at Dolphin Mall and CityPlace Doral.
It has one location on Manhattan’s Upper East Side and three locations in the Chicago area.
By filing for bankruptcy, the company hopes to gain concessions from landlords and movie studios, according to the Wall Street Journal.
The Brickell City Centre CMX theater is an anchor for the shopping center developed by Swire Properties. CMX opened the theater in 2017 and spent more than $15 million building out its Brickell location, Jaime Rionda, executive vice president of development, previously told The Real Deal.
Cinemex attempted to buy the Boca Raton-based luxury theater iPic last year after it declared bankruptcy, but was ultimately unsuccessful, according to The Wall Street Journal.
Cinemex also agreed to buy Houston-based Star Cinema Grill in March, but Cinemex allegedly backed out of the deal, according to a lawsuit filed by Star Cinema Grill in Texas. Cinemex said it was able to back out of buying theaters due to coronavirus.
CMX Cinemas had planned to open new locations at Wrigleyville in Chicago; American Dream Mall in East Rutherford, New Jersey; and Coastland Center in Naples, Florida this year, according to its website.
Cinemex Holdings USA has $100 million to $500 million in both assets and liabilities, according to the bankruptcy filing. Its largest unsecured creditors are four banks: BBVA Bancomer, Scotia Bank, HSBC Mexico, and SABCapital, the bankruptcy filing showed.
The company’s real estate affiliate Cinemex USA Real Estate Holdings Inc. also filed for bankruptcy.