Headlines

Cineworld Group Plc filed for bankruptcy in Texas in an effort to tame its $5 billion debt pile, Bloomberg News reported. The UK-based movie theater chain, which draws most of its revenues from the U.S. after the acquisition of Regal Cinemas in 2018, yesterday filed for chapter 11 protection. Cineworld has commitments for $1.94 billion of bankruptcy financing lined up from existing secured lenders, the company said in a statement. The company’s management and board of directors will remain in control of the business.

Zambia has requested $8.4 billion in debt relief from its foreign creditors over the next three years, including from China, the country’s single largest creditor and the largest lender to the developing world, WSJ Pro Bankruptcy reported. Zambia’s debt restructuring is widely seen as a test of how much debt relief China will be willing to provide to countries that can’t repay what they have borrowed from Beijing, which has shown a reluctance in recent years to write down its bilateral debts, preferring to lend more or reprofile them rather than accept haircuts.

Icelandic equipment manufacturer Marel announced on Tuesday that the decision by Norwegian salmon processing equipment supplier Stranda Prolog to file for bankruptcy will ending up costing Marel €7 million ($6.9 million), Intrafish.com reported. Stranda Prolog, which is partly owned by Icelandic processing equipment giant Marel, said on Monday it was entering bankruptcy, citing low orders, cost increases, lack of raw material and staff shortages for its misfortune.

The Bank of Canada delivered a fourth consecutive outsized interest-rate hike in a bid to slow the nation’s economy and drag inflation down from four-decade highs, Bloomberg News reported. Policy makers led by Governor Tiff Macklem raised the benchmark overnight rate by 75 basis points to 3.25% on Wednesday, giving Canada’s central bank the highest policy rate among major advanced economies. Officials said they expect to continue raising rates in coming months.

Bank of England Governor Andrew Bailey and other top officials from the British central bank spoke to lawmakers on Wednesday about last month's decision to raise interest rates to their highest since 2008 in the face of double-digit inflation, Reuters reported. "The inflation target ... has proved to be very successful," Bailey said. "In 25 years since this regime came into existence ... inflation has averaged pretty much exactly on target." He said that increasing effects from energy prices, "and as the actuality and the expectation of headline inflation have gone up so much ...

Ukraine's President Volodymyr Zelenskiy yesterday thanked the European Union for confirming 5 billion euros ($4.97 billion) in macro-financial aid but said the country needed a "full-fledged" program of financing from the International Monetary Fund, Reuters reported. Zelenskiy made the comments in a Twitter post following a conversation with German Chancellor Olaf Scholz, who he said discussed plans to further strengthen Ukraine's defence capabilities. It was not immediately clear what Zelenskiy meant by a "full-fledged" program.

European energy companies need at least 1.5 trillion euros ($1.5 trillion) to cover the cost of their exposure to soaring gas prices, Norwegian energy group Equinor has estimated, and that does not include firms in Britain, Reuters reported. Several European countries are providing billions of euros in support to power suppliers caught out by extra collateral payments on their trades - known as margin calls - but Equinor's estimate suggests such support is a fraction of the overall bill.

Finland and Sweden on Sunday announced plans to offer billions of dollars in liquidity guarantees to power companies in their countries after Russia's Gazprom shut the Nord Stream 1 gas pipeline, deepening Europe's energy crisis, Reuters reported. Finland is aiming to offer 10 billion euros ($9.95 billion) and Sweden plans to offer 250 billion Swedish crowns ($23.2 billion) in liquidity guarantees. "This has had the ingredients for a kind of a Lehman Brothers of energy industry," Finnish Economic Affairs Minister Mika Lintila said on Sunday. When Lehman Brothers, the fourth-largest U.S.

State-owned Central Bank of India has opened a new front to recover dues from the Biyanis, promoters of the debt laden retail conglomerate Future Group that is facing bankruptcy proceedings, the Economic Times of India reported. The bank has filed a personal insolvency case against promoter Kishore Biyani, his elder brother Vijay Biyani and cousin Sunil Biyani with total claims of Rs 1,047 crore. The claims were filed in the Mumbai bench of the National Company Law Tribunal (NCLT) a few days ago and are yet to be admitted by the court, documents seen by ET show.

Turkey is priming a new round of cheap loans for businesses through a government-backed program, according to a person familiar with the matter, promising a fresh dollop of stimulus before next year’s elections to spur growth in an economy at risk of a slowdown, Bloomberg News reported. The government disclosed plans to extend loans under the Credit Guarantee Fund at a closed-door meeting held by Treasury and Finance Minister Nureddin Nebati in Ankara, said the person, who spoke on condition of anonymity to discuss information that isn’t public.