Struggling cinema giant Cineworld, which recently filed for bankruptcy after admitting ticket sales were unlikely to recover to pre-pandemic levels, could be merged with its rival, Cineplex, according to WSJ reports. 

Cineworld, which is part of the world’s second-biggest cinema chain, filed for Chapter 11 bankruptcy in the US after struggling to stay afloat for several years.

The merger could see Canadian firm, Cineplex and Cineworld's Regal merge, securing the brand and its venues. 

Shares in Cineworld rose by as much as 11% because of these reports but have since declined. 

The national cinema chain hoped blockbuster films like The Batman and the last instalment of James Bond would improve figures coming out of lockdown. 

Why did Cineworld go bankrupt? 

Huge amounts of debt were taken out to help Cineworld survive the decline in footfall caused by the pandemic while previous loans were used to purchase Regal in 2017. 

The chain’s debt at the end of 2021 stood at almost $9 billion while the company's value only sat at $40 million. 

Cinemas are also facing tighter competition from streaming platforms. 

Is Cineworld closing down? 

In a statement, Cineworld said: "Cineworld would expect to maintain its operations in the ordinary course until and following any filing and ultimately to continue its business over the longer term with no significant impact upon its employees." 

The chain’s UK venues are still open to customers.