Sydney’s Cargo Bar, Melbourne’s Esplanade Hotel bought by foreign investor PAG
- Large investment company takes over bars and restaurants
- Australian Venue Co bought by investment company PAG
- The deal was worth well over a billion dollars
Some of Australia’s most iconic pubs, bars and restaurants are under new ownership after hospitality group Australian Venue Co and its 210-strong portfolio were snapped up by foreign investors.
PAG Private Equity will pay an undisclosed fee to the event chain’s parent company, KKR, the parties announced Friday, but the AFR has quoted sources as saying the deal is worth about $1.4 billion.
Investment firm PAG Private Equity has bought major hospitality group Australian Venue Co, which owns more than 200 pubs and bars, including Sydney’s Cargo Bar
Properties changing hands include Sydney’s Cargo Bar and Melbourne’s famed live music venue, the Esplanade Hotel, which served as the filming location for the SBS trivia show Rockwiz.
AVC CEO Paul Waterson said the agreement marks an exciting time for the company and its 8,500 employees.
“We look forward to working with our new partners in PAG,” he said in a press release.
“Their investment confirms the strength of the platform and our future growth potential in Australia and New Zealand.”
Lincoln Pan, co-head of PAG, said AVC is a proven industry leader with an exceptional management team and great potential.
PAG Private Equity will pay an undisclosed fee to the location chain’s parent company, KKR, the parties announced Friday, but the deal is believed to be worth about $1.4 billion (Photo: The Esplanade Hotel in Melbourne’s St Kilda , one of the properties included in the agreement). sales)
“AVC has created some of the most unique and iconic locations in Australia and New Zealand and we look forward to supporting them in their next phase of growth,” he said.
Global investment firm KKR acquired the hospitality group in 2017, when it had just 50 locations.
The transaction is expected to close by the end of 2023, subject to regulatory approval.