Skycity Darwin Joins Skycity Entertainment Group
‘Skycity Darwin’ Joins The Skycity Entertainment Group
From today, the former MGM Grand Darwin, in Australia’s Northern Territory, will become ‘SKYCITY Darwin’.
The name change reflects today’s settlement of the transaction associated with the purchase of the property by New Zealand-based gaming and entertainment company, SKYCITY Entertainment Group Limited. The operation has been purchased from MGM MIRAGE Inc. at the agreed purchase price of A$195m (NZ$215m).
SKYCITY first advised of its intention to acquire the property in February 2004, outlining at that time that the purchase was subject to various approvals. SKYCITY received the necessary regulatory approvals and completed other conditions precedent for the acquisition of the Darwin casino and hotel complex in Australia’s Northern Territory earlier this month.
SKYCITY’s Managing Director, Evan Davies, said the company was delighted to welcome a second Australian property into the SKYCITY Group.
“We are pleased to conclude this transaction and begin the integration of SKYCITY Darwin into the Group.” “The immediate priority for us will be to meet with staff, introduce SKYCITY and our vision as a fun and entertainment business and explain what the ownership transition will mean for them,” said Mr Davies.
Located 3km from the city centre the Darwin casino and hotel is a mid-sized gaming operation, approximately 25% larger than SKYCITY’s most recently opened casino, SKYCITY Hamilton (New Zealand), in terms of gaming machines and table numbers.
The property is the only licensed casino in Darwin and the largest in the Northern Territory. The property comprises three gaming rooms (26 tables, 450 gaming machines and 50 NT Keno venues), a 107-room hotel, four restaurants and five bars.
“Beyond branding-related changes, which begin today, it will be business as usual for the foreseeable future. We will take time to become familiar with the property and local operating environment before confirming what, if any, improvements to the existing business may be necessary,” said Mr Davies.
SKYCITY, which acquired the former Adelaide Casino from the South Australian government in 2000 (since renamed SKYCITY Adelaide), has been dual-listed on the ASX and the NZX since July 2002 and currently has a market capitalisation of A$1.7 billion (NZ$1.9 billion).