rewrite this title Luxury Movie Theater Chain IPic Files For Chapter 11 Bankruptcy Protection

Luxury movie theater operator iPic Theaters has filed for Chapter 11 bankruptcy reorganization, planning to sell its assets but vowing to try to return to operating after a restructuring.

Pending “a process to maximize value to all creditors,” the company will continue to operate and conduct business during what it called an “expedited sale process” for its assets.

All company employees received WARN notices about the action. The move was announced overnight last Thursday, escaping wide media attention during the chaotic series of events in the Warner Bros. Discovery-Paramount-Netflix merger saga.

Founded in 2010, iPic operates four dine-in theater and restaurant brands, including iPic, City Perch, The Tuck Room and Serena Pastificio. The companies portfolio includes eight restaurant locations and 100 screens in 13 theater sites in California, Florida, Georgia, Maryland, New Jersey, New York, Texas, and Washington.

IPic has a notable profile in Los Angeles, where it has a theater complex on Wilshire Boulevard in Westwood, as well as New York City, with a venue in Manhattan’s South Street Seaport. As Netflix and other streamers increased their feature film ambitions, iPic was among the exhibitors who would book their films, in contrast to longstanding bans at AMC, Regal, Cinemark and other major chains.

The bankruptcy is the second one for iPic, following a 2019 filing. The company’s stock trades over the counter.

“After exploring a range of possible alternatives, the company concluded that a court-supervised sale of assets is in the best interest of the company and its stakeholders,” CEO Patrick Quinn said in a statement. “We are committed to continuing our business operations with minimal impact throughout the process and will endeavor to serve our customers with the high standard of care they have come to expect from us.”

The exec added that the company’s leadership team had concluded that the bankruptcy process is “the best path forward for the company.” After what execs hope will be “a seamless process for all of our stakeholders,” Quinn said the strategic plan is to reorganize and restructure in order to resume operations.