Cathay Cineplex has paid back S$12 million owed to landlords; remaining S$2.7 million is a quarter of total sum
mm2 Asia says slower-than-expected recovery of the cinema industry hit the cinema chain’s ability to pay its arrears on a timely basis
THE S$2.7 million in rental arrears by Cathay Cineplex to the landlords of its two cinemas represents a quarter of the total payment it owed between Apr 1, 2020, and Jan 31, 2025.
The cinema chain, operated by mm2 Asia, has paid back S$12 million in rent owed to the landlords, said the mainboard-listed media company in a bourse filing on Thursday (Feb 6).
The company was responding to queries from the Singapore Exchange (SGX) on the letters of demand that Cathay Cineplex received for rent and other costs owed.
SGX asked why the rental arrears and other amounts have not been paid back to the respective landlords, despite mm2 Asia having reported S$10.1 million in cash and cash equivalents in its results for the first half of the year.
The media company was asked if the payment amounts were being disputed by Cathay Cineplex, and if the cash and cash equivalents were restricted or encumbered in any manner.
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