Coronavirus shutdown sees Cirque du Soleil file for bankruptcy
Global circus show Cirque du Soleil has sacked most of its employees and filed for bankruptcy following the disruption of the COVID-19 shutdown laying off around 3500 employees.
Forced to close shows around the world, the Canadian company announced overnight that the “immense disruption and forced show closures as a result of the COVID-19 pandemic” had pushed it into bankruptcy.
Since first impacted by the Coranavirus pandemic, the company, which over the last three decades has grown to become internationally recognised as one of the best live-entertainment brands, has been crippled by being forced to suspend production of its shows, including six in Las Vegas and 10 shows on tour across the world.
The company is reportedly aiming to restructure its nearly US$1 billion worth of debt with assistance from the Canadian government and private equity firms.
The company has also received US$300 million in fresh funding to “support a successful restart, provide relief for Cirque du Soleil’s affected employees and partners, and assume certain of the company’s outstanding liabilities”.
Commenting on the company’s predicament, Daniel Lamarre, Chief Executive of Cirque du Soleil Entertainment Group, stated “for the past 36 years, Cirque du Soleil has been a highly successful and profitable organization.
“However, with zero revenues since the forced closure of all of our shows due to COVID-19, management had to act decisively to protect the company’s future.”
Image: Cirque du Soleil's production of Kurios.
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