After launching a service that seemed too good to be true, MoviePass parent company Helios and Matheson have abruptly announced that the beleaguered movie ticket subscription service will be shutting down permanently tomorrow, September 14th.
According to CNBC who first reported the announcement, Helios and Matheson decided to lower the curtains on MoviePass after “efforts to recapitalize MoviePass have not been successful to date.”
Helios and Matheson have reportedly formed a strategic review that will explore MoviePass’ options going forward, including the possible sale of the company’s assets including Moviefone and MoviePass Films, along with a possible reorganization. However, any of MoviePass’ potential buyers will account for a deal that will include the “assumption or settlement” of MoviePass’s existing liabilities.
Over the past year, MoviePass has been beset by a number of issues and setbacks including multiple rounds of layoffs, a serious security breach, new competition from cinemas, and numerous policy changes and services interruptions, not to mention some underhanded moves that prevented some users from getting tickets to specific screenings.
MoviePass says that it will also seek additional funding in hopes bringing its service back, but with mounting debt and a staff that according to Business Insider had recently shrunk down to just 12 employees, chances that MoviePass will return for one last ride seem incredibly slim.
So I guess that’s it, show’s over folks.
