mm2 Asia has appointed a liquidator to wind up its cinema subsidiary Cathay Cineplexes, closing a chapter in the history of Singapore's entertainment industry.
The cinema chain owes rent and other money to seven creditors, mainly landlords where it operates.
They include Frasers Centrepoint Trust and Lendlease Global Commercial REIT.
The Cathay cinema brand, established in 1939, was at one point one of the biggest brand names of the regional movie industry, operating not just cinema theatres but was also involved in movie production at one point.
Back in 2017, mm2 Asia paid $230 million for Cathay Cinema, which operated eight cinemas in Singapore then.
According to mm2 Asia in a Sept 1 announcement, Cathay Cineplexes had tried to negotiate amicable resolutions with the various creditors but was unable to arrive at mutually agreeable restructuring outcomes.
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As such, mm2 Asia believes that it is no longer feasible for Cathay Cineplexes to continue as a going concern.
Luke Anthony Furler and Tan Kim Han of Quantuma (Singapore) have been appointed as joint and several provisional liquidators of the Cathay Cineplexes.
mm2 Asia shares last traded at 0.4 cents, down 60% year to date.
