Cirque du Soleil to file for bankruptcy due to coronavirus shutdown

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(CNN) - Cirque du Soleil, the Montreal-based entertainment company and one of the largest circus companies in the world, has announced it will file for bankruptcy protection in Canada and the US, according to a statement on the company’s website.

“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,” Daniel Lamarre, President and CEO of Cirque du Soleil Entertainment Group, said in the statement.

As part of their restructuring plans, the troupe plans to fire about 3,480 previously furloughed employees following the halt in revenue caused by the government-mandated shutdowns in response to the Covid-19 pandemic.

The company says it currently employs “4,000 people, including 1,300 artists, who originate from nearly 50 countries” on its official website.

Cirque du Soleil has also received $300 million in new funding in an effort 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," the statement said.

The company also hopes to raise at least $20 million from its largest backers through a "stalking horse" bid.

This story was first published on CNN.com, "Cirque du Soleil to file for bankruptcy due to coronavirus shutdown"