One of Australia’s largest live entertainment companies, Nine Live, has been sold in full to Asian private equity group Affinity Equity Partners (Affinity) for AUS $640 million (US $496m; €466m).
As part of the transaction, Affinity and Nine Live owner NEC have signed contractual arrangements which ‘preserve the respective commercial relationships and benefits that have prevailed during NEC’s ownership of the Nine Live business’.
Nine Live is, in turn, owner of Ticketek, one of the region’s biggest entertainment and sport ticketing operators.
David Gyngell, Chief Executive Officer of NEC, said: “Nine Live has grown strongly under NEC ownership for the past eight years. The team, led by Geoff Jones, have done a remarkable job expanding the business into Touring and Events and, more recently, into international sports and exhibitions.
“The sale of the business provides an attractive outcome for NEC shareholders, releasing significant proceeds to enable enhanced shareholder returns while retaining substantial financial flexibility. We will also retain a commercial relationship with the business and look forward to continuing to work together in areas where there are mutual benefits between NEC and Nine Live.
“With the sale of Nine Live, our focus now is on optimising the performance of our Free-to-Air TV, Digital and Subscription Streaming businesses and maximising returns to our shareholders.”
Brett Sutton, Head of Australia & New Zealand at Affinity Equity Partners, said: “Affinity is excited to invest in Australia’s leading live events and ticketing company. Nine Live is an excellent company with strong management and has the capacity for significant growth throughout the region, which aligns with Affinity’s investment strategy.
“Affinity looks forward to partnering with Nine Live to explore opportunities for expansion while maintaining Nine Live’s outstanding track record of customer service.”
The sale is expected to complete on 31 July 2015 subject to certain customary completion conditions being satisfied.Music Business Worldwide
