Ardent Leisure Group
(ASX:AAD) has successfully completed an underwritten $50 million institutional placement. The leisure and entertainment business operator raised the funds to help fund its acquisition of the Fitness First Western Australian portfolio for $32.5 million.
Ardent Leisure also plans to put the funds to accelerate the roll-out of its family entertainment business Main Event as it continues to pursue growth in its other divisions.
The company says it received strong demand from domestic and institutional investors which it believes demonstrates support for its latest acquisition.
CEO and Managing Director Greg Shaw says Ardent Leisure is delighted by the level of demand from existing and new investors who participated in the offer.
The company will also undertake a non-underwritten Security Purchase Plan capped at $15 million to facilitate retail participation.
Ardent Leisure reported a net profit to $22.5 million in the first half of the 2014 financial year.
