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Saudi Arabia’s Fawaz Abdulaziz Alhokair Group is looking to divest a majority stake in its leisure and entertainment business Billy Beez.
The company has just signed a non-binding letter of intent with Newco Corporation for the “potential sale” of 66.67 percent of Billy Beez USA, Alhokair told the Saudi Stock Exchange (Tadawul).
The proposed acquisition will be paid in cash and include the repayment of outstanding debt incurred by Billy Beez. Alhokair did not disclose the value of the potential transaction.
Billy Beez operates indoor entertainment centres for kids in 13 locations in the US and at least three more in Saudi Arabia. It is 100 percent owned by Alhokair’s wholly owned subsidiary Retail Group of America.
“The potential sale is in line with Alhokair’s strategy to exit non-core markets and segments, while continuing to diversify its retail and F&B portfolio to become the leading lifestyle retailer of choice in [Saudi Arabia] and selected growth markets,” the company said.
Alhokair operates mainly in fashion retail, with a portfolio of 95 international brands and 1,000 stores across the kingdom.
(Writing by Cleofe Maceda; editing by Seban Scaria)
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