Cinemark to Raise $250 Million in New Debt Offering as Pandemic Drags On

Texas-based exhibitor is third largest theater chain in the U.S.

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Cinemark, the third-largest theater chain in the country, said that it would be selling $250 million worth of debt securities — or senior secured notes — for general corporate purposes and to increase liquidity as theaters remain shut down during the coronavirus pandemic, the company announced Monday.

The Plano, Texas-based exhibitor operates 554 theatres with 6,132 screens in 42 states domestically and 15 countries in South and Central America. Cinemark CEO Mark Zoradi, whose pay rose to $6.3 million in 2019, is currently going without a salary as employees remained furloughed and theaters remain closed across the country.

Cinemark added that the notes sold in the debt offering will be guaranteed by certain corporate subsidiaries.

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