This article is from the Australian Property Journal archive
ADELAIDE's Skycity casino could fetch around $235 million for New Zealand owners SKYCITY Entertainment Group.
Skycity announced at yesterday’s annual results announcement, that is has received enquiries from seven interested parties for the underperforming complex.
Executive Director Elmar Toime said a strategic development plan for the SKYCITY Adelaide property has been completed, incorporating carpark development and completion of the property redevelopment programme.
“Valuation of the business has been verified by external financial advisors and shows how this property can deliver shareholder value,” he added.
The sale is part of wider portfolio restructure which also include the sale of the Skycity Cinemas and the Skycity Christchurch casino.
The board has emphasised however that this will not involve a sale at any price and that offers will need to exceed the company’s internal view of value for a sale to proceed.
Yesterday, Skycity announced an after tax net profit of $NZ98.4 million for the year ended June 30 2007 – down 18.1% over the previous year.
Toime said that FY07 had been a challenging year for the group but expressed confidence in a robust business model moving forward into FY08.
The group announced a final distribution of 12 cents per share, taking a total distribution for 2007 of 21 cents.
Australian Property Journal
