K’gari resorts sold for $145.8m
Kelsian Group is offloading its K’gari resorts and tourism operations to Journey Beyond as part of its exit from Australian tourism.
The deal includes Kingfisher Bay Resort (pictured, top), K’gari Beach Resort, K’gari Explorer and SeaLink Fraser Island, along with other tourism businesses including Captain Cook Cruises, SeaLink Marina, SeaLink Tasmania and SeaLink Northern Territory.
The transaction was originally announced at an enterprise value of $161 million, but has since been reduced to $145.8m following the removal of SeaLink Rottnest.
K’gari resorts
Kingfisher Bay Resort, on the western side of the World Heritage-listed island, has 269 rooms, villas and holiday houses.
K’gari Beach Resort, formerly Eurong Beach Resort, is on the eastern side.
The sale also includes K’gari’s ferry and four-wheel-drive touring operations.
Journey Beyond is owned by US private equity firm Crestview Partners (continues below).
It operates the Ghan and Indian Pacific rail services and has been expanding its Australian tourism portfolio, including with the c$300m Ayers Rock Resort last year and, in May, the 110-room Mercure Kakadu Crocodile Hotel in Jabiru.
Kelsian quits tourism
The sale follows Kelsian’s decision to exit Australian tourism.
Last April, realestatesource.com.au reported the group sold three Western Australian bus depots with leasebacks for a combined $20.38m.
The Australian Competition and Consumer Commission and Foreign Investment Review Board have approved the Journey Beyond deal.
Completion is expected by the end of the year.
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