It has been a busy few days for Aussie investment firm BGH Capital.
After making the shortlist of four bidders for Virgin Australia, BGH is keen on snapping up theme park operator Village Roadshow for a bargain price.
The private equity firm has made a non-binding bid of up to $468 million for Village Roadshow.
Village Roadshow operates the Warner Bros. Movie World, Wet’n’Wild and Sea World theme parks as well as cinemas nationwide.
BGH made an offer back in January but this one is much lower due to the company’s current difficulties with theme parks closed and growing debt.
It has net debt of about $284 million which will rise to about $315 million by the end of June.
BGH has been granted an exclusive four-week period to peruse the books and table a bid.
The actual price of the bid is conditional on a number of factors including when the theme parks and cinemas reopen.
The bid has a base price of $2.20 a share up to $2.40 a share depending on the various conditions being met.
Village’s share price has plunged by about 50% since BGH’s initial bid in January.
