Village Roadshow Limited (VRL) announced that it has entered into an agreement to sell its aquarium and attractions businesses to Merlin Entertainments Group, Europe’s leading and the world’s second -largest visitor attraction operator. The businesses to be sold include Sydney Aquarium, Sydney Wildlife World, Oceanworld Manly, Sydney Tower Observation Deck and Sky Walk, Hamilton Island Wildlife Park and Kelly Tarlton’s Antarctic Encounter and Underwater World, in Auckland.
Mr Graham Burke, VRL CEO, said: “This transaction also includes an understanding to consider brands such as LEGOLAND Discovery Centres in partnership in Australia. We are very excited to form a strategic alliance with Merlin because they are both entrepreneurial and have some outstanding brands.” Mr Nick Varney, Chief Executive Officer of Merlin, said: “This is an important step for Merlin, significantly strengthening our presence in the dynamic Asia Pacific region and bringing our strong international brands to another set of iconic established tourist attractions. Merlin has a strong track record of successfully growing the assets it buys and we are confident that our proven formula will work in this exciting market. “The deal means that in Sydney, one of the world’s leading cities, we will have a ‘cluster’ of leading visitor attractions to match our strength in the London and Berlin markets.”
The net cash proceeds to VRL from the disposal of the businesses, after repayment of debt within Sydney Attractions Group, will be approximately A$115 million. It is anticipated that the sale of the businesses will reduce VRL’s reported EBITDA in the current financial year by approximately A$11.7 million for the period January to June 2011.
MERLIN ENTERTAINMENTS GROUP is the leading name in location-based, family entertainment, and has seen the most successful and dynamic growth of any company in the sector over the last five years. Europe’s Number 1 and the world’s second-largest visitor attraction operator, Merlin currently has 63 attractions, six hotels/two holiday villages in 13 countries and across three continents. The company aims to deliver memorable and rewarding experiences to its 38.5 million visitors worldwide, through its iconic global and local brands, and the commitment and passion of its managers and more than 15,000 employees. Merlin Entertainments operates the following attractions – SEA LIFE, Madame Tussauds, LEGOLAND, The London Eye, Dungeons, Gardaland, LEGOLAND Discovery Centres, Alton Towers Resort, Warwick Castle, Thorpe Park, Chessington World of Adventures, Heide Park and Earth Explorer.
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