Cirque du Soleil files for bankruptcy protection

Montreal’s iconic entertainment group, Cirque du Soleil, has filed for bankruptcy protection and sacked more than 3,000 employees.

On Tuesday, the group posted to Twitter confirming that all future performances and events would be cancelled.

Daniel Lamarre, president and CEO of Cirque du Soleil Entertainment Group said that despite the previous success and profitability of the business, it has brought in zero revenue since COVID-19 forced it to cancel all shows.

The company said the move was in connection to a “stalking horse” purchase agreement with its existing shareholders and sponsors that would see US$300 million ($434.5 million) pumped into the restructured business.

As part of the restructure, 3,480 employees who had been stood down since March have been let go as a “necessary part of its restructuring and eventual plans to restart operations”.

SBS News reported the mass sacking will leave the company with just 213 employees.

“It’s a big shock, but we are optimistic that in the future when normalcy will come back, that people will be very, very eager to see live shows,” Lamarre told SBS News.

Fans around the world have been left devastated by the news.