Up in Auckland, down in Darwin
New Zealand-listed SkyCity Entertainment has announced plans to raise NZ$263 million, with net proceeds to fund “future growth projects” in Auckland and Adelaide, reports the New Zealand Herald.
In a filing to the New Zealand Stock Exchange, the casino operator said it will also use part of the funds to pay down bank debt and reduce gearing. Under the offer, eligible shareholders may acquire one new share for every 10 existing shares at an application price of NZ$4.4 per new share, the Herald reported. In March, SkyCity posted that revenue and earnings were up 10.2 percent to NZ$562 million for the six months ending December 31, 2015. Normalized EBITDA was up 15.4 percent to NZ$178.2 million.
SkyCity’s Auckland casino saw revenues up 7.4 percent to NZ$324.9 million. Its Darwin operations reported a 6.9 percent decline in revenue.
