Comcast to Buy Majority Stake in Universal Studios Japan
September 28 2015 - 3:40AM
Dow Jones News
TOKYO—Comcast, the largest U.S. cable operator, said Monday it
will acquire a 51% stake in the holding company of Universal
Studios Japan for $1.5 billion through NBCUniversal, in a deal that
would help the media giant seek further growth internationally.
The enterprise value of USJ is ¥ 750 billion ($6.2 billion),
including debts of ¥ 400 billion, Comcast said.
In the agreement, Goldman Sachs Group Inc. and the other owners
of USJ Co., the operator of the theme park, will sell more than
half of their current stakes to a special-purpose company that
NBCUniversal will set up.
"We are excited to expand our global footprint with this
wonderful theme park in Osaka," said Brian Roberts, Comcast's
chairman and chief executive in a statement. "This investment
represents a huge opportunity and commitment to creating value for
our shareholders and continuing to grow internationally."
Mr. Roberts said his company had been thinking about investing
internationally since it acquired NBCUniversal.
Universal Studios Japan opened in 2001 and in 2007 made its
debut on the Tokyo Stock Exchange's Mothers market for startup
companies. But struggling with decreasing visitor numbers, USJ was
delisted in 2009, when Goldman Sachs injected capital into the
company.
Goldman currently has a majority stake in USJ. Asian
private-equity firms MBK Partners and PAG, along with U.S. hedge
fund Owl Creek Asset Management have the remaining stakes.
Comcast doesn't currently have a stake in USJ, although it
receives fees from USJ's owners for intellectual property licenses
and other services.
The transaction will be completed in early or mid November,
Comcast said.
USJ had initially been looking to list on the Tokyo Stock
Exchange in September, but decided to push back its listing
plan.
Universal Studios Japan, located in Osaka, the center of the
country's second-largest metropolitan area, had long struggled to
make money, but business has been picking up since a Harry
Potter-themed attraction opened at the park in 2014.
More than 12 million people visited Universal Studios Japan in
the latest financial year.
Write to Atsuko Fukase at atsuko.fukase@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
(END) Dow Jones Newswires
September 28, 2015 03:25 ET (07:25 GMT)
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