Merlin Entertainments considers stock market floatation

Merlin Entertainments, the owner of Madame Tussauds Sydney and the Sydney SEALIFE Aquarium, has said a flotation of the business is under "active consideration", as its annual revenues smashed through the £1 billion ($1.45 billion) barrier.

The global attractions operator, which is backed by the private-equity giants Blackstone and CVC, is expected to make a decision towards the end of its third quarter, with a potential listing - forecast to value it at more than £3 billion ($4.35 billion) likely to be in New York and London.

Merlin Chief Executive Nick Varney told London's Evening Standard "we have always said we would look to 2013 to 2014 as the next possible window for floating."

Merlin, known for its Eye, Legoland and Madame Tussauds brands, this week posted a 16.5% uplift in operating profits to £258 million ($376 million) over the year to 29th December 2012, despite, as Varney added "one of the most challenging years we have experienced since founding Merlin in 1999."

Merlin, which has net debt of £1.3 billion ($1.9 billion), was hit by three factors: the eurozone crisis dampening spending on the Continent; the wettest summer on record in northern Europe; and the London Olympics sucking spending and traffic away from its UK attractions.

Varney said the Games had attracted 10 million visitors during its peak season, who may otherwise have been customers.

The 15% jump in its revenues to more than £1.1 billion was driven by expansion internationally, including its Australian operations which it has acquired and added to since acquiring the former Sydney Attractions Group in early 2011.

Ed Fuller, Divisional Director for Merlin Entertainment Group Australia is a keynote speaker at the 2013 Australian Amusement, Leisure and Recreation Association (AALARA) Conference, being held on the Gold Coast from 7th to 9th May.

20th May 2012 - MADAME TUSSAUDS SYDNEY A MODEL OF ATTRACTIONS INVESTMENT