Ardent Leisure looks to sell marinas division

Theme park, bowling centre and fitness club owner Ardent Leisure has put its d’Albora Marinas business up for sale, reportedly looking to use funds from the sale to further develop its Main Event family entertainment division.

With the d’Albora Marinas division believed to be worth in excess of $110 million, financial analysts are speculating that the sale may precede Ardent being acquired by a private equity fund.

Following speculation that Ardent might be acquired by China’s Dalian Wanda Group as part of its plans to develop attractions on the Gold Coast, the Australian Financial Review's Street Talk column has suggested that private equity giant The Carlyle Group may now be looking to acquire the group.

Ardent is valued at around $1.06 billion on Australian Stock Exchanges (ASX).

d’Albora Marinas comprises seven high profile marinas, including three in Sydney Harbour, two adjacent to the Melbourne CBD and a further two at the popular l destinations of Nelson Bay and Akuna Bay, north of Sydney. These locations represent over 1,300 berths, substantial water and land leases with development opportunities.

d’Albora Marinas, the largest marina group in Australia, saw interim revenues fall 2.3% in the company’s most recent results, with earnings before interest, tax, depreciation and amortisation sliding 8.6% to $4.6 million over the six months through December.

A statement from Ardent Leisure said the sale of the marinas will “assist in accelerating the pace and development” of the Main Event business in the US, as the company bumped up the number of new centres it plans to open in the 2017 financial year to 11, up from a previously planned 8, bringing the total number of centres to 38 locations across 12 states.”

Ardent Leisure Chairman Neil Balnaves added “these decisions follow a period of review over the last six months and position the group as a premium family recreation and entertainment company.

“Deborah Thomas and the management team have commenced the process for the sale of d’Albora Marinas and the remainder of these initiatives will be implemented as a priority over the next 12 months.

“In due course it is expected that, with the growth of the US assets outweighing that of the Australian businesses, the balance of the group’s assets and revenues will become more weighted to the US.”

Click here to read the AFR story.

Images (from top): d’Albora Marinas' properties at Nelson Bay and Akuna Bay.

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