Village Roadshow extends takeover talks with failed Virgin bidder

Gold Coast, Australia - July 11, 2017: entrance to Sea World amusement park at Main Beach on the Gold Coast, a popular tourist attraction.

Theme park operator Village Roadshow has extended the exclusivity period for its takeover discussions with BGH Capital by two weeks.

Village Roadshow, which operates well-known theme parks Warner Bros. Movie World, Wet’n’Wild and Sea World, along with a host of cinemas across the country, revealed to shareholders last month that it was in negotiations with the private equity firm over a potential privatisation takeover.

BGH, which recently failed in its bid for beleaguered airline Virgin Australia, has offered to acquire all of Village Roadshow’s shares by way of a scheme of arrangement at a price of up to $2.40 per share.

According to an ASX update by Village Roadshow, it has amended the transaction process deed with BGH, with the initial four-week period being extended by two weeks to 30 June.

Village Roadshow has also agreed to allow a further two-week extension if both parties continue to “actively pursue” the potential transaction.

The news comes as the company’s theme major theme parks prepare to reopen their doors under an industry-approved COVIDSafe plan.

Sea World will reopen on Friday 26 June, while Movie World and Wet’n’Wild will resume operations on Wednesday 15 July.


Featured image: iStock/Nils Versemann

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