Cineworld Group PLC (LSE:CINE) and its subsidiaries have been granted access to up to US$785mln of an approximately US$1.94bn secured from existing lenders as part of its Chapter 11 bankruptcy filing.
Along with its available cash reserves, the cinema group expects this to be sufficient liquidity to meet its ongoing obligations.
Shares of the company jumped 16.69% to 4.83p in morning trades.
The "immediate access" to the funds will help the cinema chain with post-petition obligations to vendors and suppliers, as well as employee wages, salaries and benefits programmes.
"Today’s approval of our requested 'first-day' relief is a positive step forward for the group and our restructuring efforts," said Mooky Greidinger, chief executive, in a statement.
Cineworld and its brands around the world - including Regal, Cinema City, Picture House and yes Planet - are open as usual during Chapter 11.
All existing customer membership programmes, including Regal Unlimited and Regal Crown Club in the US and Cineworld Unlimited in the UK will be honoured, the company added in a statement.