Vealls closer to selling NZ ski field business
Real Journeys says it is the preferred bidder for Cardrona Alpine Ski Resort between Wanaka and Queenstown, New Zealand, which Vealls is selling as part of a previously announced restructuring.
Earlier this year Vealls said that following a review into its operations it had decided to shrink its geographical base to exit Australia, New Zealand and France and only conduct its business in Singapore.
Vealls is seeking to sell or unwind its business investments and will seek to invest in Asian securities listed on the Singapore Stock Exchange and other Asian regional markets.
The sale of its New Zealand ski field business is subject to Real Journeys, a locally owned tourism business operator, checking the books of the business and approval by its shareholders.
"We are hopeful of a positive outcome to the sale process and some heavy snowfalls over the coming weeks," Real Journeys chief executive Richard Lauder said. He may get his way as a very cold south-westerly flow will blast the South Island on Tuesday.
Ahead of the sale, there was speculation that Merlin Entertainment, which owns Madame Tussauds, Legoland, the London Eye and Kelly Tarlton's Underwater World in Auckland, was a bidder.
NZ Ski Ltd, which owns Coronet Peak, Mt Hutt and The Remarkables ski areas, was also believed to be interested, as was Skyline Enterprises, which owns the gondola in Queenstown.
Vealls' ski field business in New Zealand produced a net profit of $5.7 million in the six months to December 31, and had a book value of $40.93 million.
The company also holds land in NSW and Victoria. It will use funds raised from the ski fields and land sales to transform itself into an investment company.
Frequently Asked Questions about this Article…
Vealls is selling its New Zealand ski field business, including Cardrona Alpine Ski Resort, as part of a wider corporate restructuring. After a review it decided to shrink its geographical base, exit Australia, New Zealand and France, and focus its future business operations in Singapore.
Real Journeys, a locally owned tourism operator, is the preferred bidder for Cardrona Alpine Ski Resort. The sale is subject to Real Journeys completing due diligence by checking the business books and obtaining approval from its shareholders.
Vealls' New Zealand ski field business recorded a net profit of $5.7 million in the six months to December 31 and had a book value of $40.93 million, according to the company statement in the article.
Before Real Journeys emerged as the preferred bidder, media speculation suggested interest from Merlin Entertainment, NZ Ski Ltd (owner of Coronet Peak, Mt Hutt and The Remarkables) and Skyline Enterprises, which operates the Queenstown gondola.
Vealls plans to use funds raised from the sale of its ski fields and land holdings to transform itself into an investment company focused on investing in Asian securities.
Following the restructuring and planned sales, Vealls intends to concentrate its business in Singapore and seek to invest in Asian securities listed on the Singapore Stock Exchange and other Asian regional markets.
Yes. The company also holds land in New South Wales and Victoria in Australia, which it intends to sell alongside its ski field assets as part of the transformation plans.
While the sale itself depends on due diligence and shareholder approval, Real Journeys noted it was hopeful for a positive outcome and mentioned that heavy snowfalls in coming weeks would be beneficial — indicating seasonal snow conditions are relevant to the business value and operations.
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