Carnival Cinemas intends to raise Rs400 crore from Yes Bank

In order to restructure its debt and expand its screen count, Carnival Cinemas may receive Rs400 crore from Yes Bank. The firm had announced last year that it was seeking a partnership with a private equity investor to manage its debt issue.

Within 60 to 90 days, the multiplex operator hopes to finish this debt restructuring. According to a source close to the firm, Yes Bank has begun the process of taking shares.

The multiplex operator, which now operates 450 screens, also plans to spend cash to open new ones. Carnival Cinemas, in which the corporation had made a partial investment before the coronavirus epidemic, intends to open 100 screens.

The Shrikant Bhasi-led movie theatre chain, which was seeking an equity investor to address its debt issue, had come under fire from staff members last year when they complained about social media that the business had not paid its dues.

According to media sources, the corporation owed over 4,000 employees’ dues. The business said in December of last year that it will pay off all debts by the end of FY22. Additionally, several workers said that they were encouraged to promote milk and vegetables for the firm’s Farmse Fresh division, which was introduced in 2021 during the epidemic.