11 April 2016Shareholders to vote on AED 1.68 billion capital increase at the General Assembly meeting to be held on 18 April 2016
Dubai, UAE: Dubai Parks and Resorts ("DPR" or "the Company") today announces it has secured AED 993 million (US$ 270 million) of debt financing to fund part of the proposed Six Flags branded theme park which would further enhance the Dubai Parks and Resorts destination offering. As announced on 28 March 2016, the Company is seeking to raise AED 2.67 billion primarily to finance the development of Six Flags Dubai, through a combination of debt and equity funding.
The debt portion accounts for approximately 37% of the total financing being raised. Shareholders will vote on a special resolution to approve an increase in the Company's capital through a proposed rights issue to raise the remaining AED 1.68 billion at the General Assembly meeting to be held on 18 April 2016.
The AED 993 million debt funding is being provided by Abu Dhabi Commercial Bank, Dubai Islamic Bank, and Sharjah Islamic Bank.
Six Flags Dubai is expected to open in Q4 2019 and will have 27 rides and attractions for thrill seekers of all ages. Six Flags Inc. is one of the largest amusement park companies in the world based on the number of parks it operates and the fifth most popular in terms of attendance.
Raed Kajoor Al Nuaimi, Chief Executive Officer, Dubai Parks and Resorts, said, "Dubai Parks and Resorts has a clear strategy to be the largest leisure and entertainment destination in the Middle East. The proposed Six Flags branded theme park will strengthen the appeal of our destination for thrill seekers of all ages, complementing motiongateTM Dubai, LEGOLAND® Dubai and Bollywood ParksTM Dubai, which are on schedule and on budget to open in October this year. We are pleased to have the support of the banking community as we expand our entertainment offering."
At the General Assembly meeting, DPR shareholders will be asked to vote on the Board of Directors' proposal to increase the issued share capital of DPR by AED 1,678,084,962 through a rights issue at an issue price of AED 1 per share. Subject to shareholder approval and in accordance with the Commercial Companies Law (Federal Law No 2 for the year 2015), the Board will have one year from the date of the General Assembly to execute and decide upon the timing of the proposed rights issue, which is also subject to the approval of the Securities and Commodities Authority (SCA). The Company's intention is to proceed with the rights issue as soon as the Board determines that market conditions are suitable.
For further details please refer to the General Assembly invitation which is published on the DFM website (www.dfm.ae).
About Dubai Parks and Resorts
Dubai Parks and Resorts PJSC (DFM: DUBAIPARKS), is set to be the region's largest integrated theme park destination comprising three theme parks: motiongate™ Dubai, a movie inspired theme park showcasing some of Hollywood's most beloved characters from DreamWorks Animation, Sony Pictures Studios and Lionsgate; Bollywood Parks™ Dubai, the first theme park based on the sights and sounds of Bollywood; as well as LEGOLAND® Dubai, a unique, interactive theme park for families which will bring the well-known LEGO® brick to life in a playful learning environment; and LEGOLAND® Water Park, the region's first water park catering to families with children 2-12.
The entire destination will be connected by Riverland™ Dubai - a retail, dining and entertainment walkway located at the heart of the destination and guests can stay at the Lapita™ Hotel, a Polynesian-themed resort catering to families, which will be managed by the Marriott Group.
Set to open in October this year, the AED 10.5 billion development is spread across 25 million square feet of land located on Sheikh Zayed Road in Dubai opposite the Palm Jebel Ali. 6.7 million ticketed visits are projected for 2017, the first full year of operation.
For more information go to: dubaiparksandresorts.com/investor-relations.
For further information please contact:
Marwa Gouda, Head of Investor Relations, Dubai Parks and Resorts
Jon Earl, Managing Director, FTI Consulting
Amy Piek, Director, FTI Consulting
© Press Release 2016