SKYCITY Completes purchase of Tainui shares
Wed, 21 July 2004
SKYCITY Completes purchase of Tainui shares in SKYCITY Hamilton
SKYCITY Entertainment Group Limited (SKYCITY) today announced that it has settled the $10.5 million purchase of Tainui Group Holdings Limited's (TGHL) 15% shareholding in Riverside Casino Limited, the owner of the SKYCITY Hamilton gaming and entertainment complex.
This increases SKYCITY's equity position in the Hamilton business to 70%.
SKYCITY Entertainment Group Managing Director, Evan Davies, said the company's interest in acquiring the shareholding was a logical move in a company where SKYCITY is already majority shareholder and the operator of the business.
SKYCITY Hamilton reported a strong performance for the 2004 interim result period. Revenues were up 23% (from the second half of 2003), with EBITDA at 44% of revenues.
"We are excited with the progress SKYCITY Hamilton has achieved to date. The property is an excellent example of SKYCITY's successful business philosophy translated into a local environment. The newly opened SKYCITY Hamilton Function Centre is already proving popular with forward bookings through to 2005," Mr Davies said.
Opened in April, the new SKYCITY Hamilton Function Centre features two rooms that can be combined to cater for up to 240 people banquet style, 320 theatre style and 400 standing guests. SKYCITY Hamilton's Number Eight bar has also recently been extended in response to increased customer demand, and also includes the addition of decks in preparation for the imminent smokefree legislation.