Dixon Hospitality Group expands its pubs offering
The new Beer DeLuxe King Street Wharf in Sydney
Dixon Hospitality Group has swooped on the Beer Deluxe portfolio of pubs from Armada Hospitality Group, picking it up for just under $31 million, boosting its profile ahead of its planned float on the Australian stock market in the second half of this year.
It delivers six Beer DeLuxe venues – two in Melbourne, two in regional New South Wales, plus one in Sydney and a Brisbane venue. These include key venues in Melbourne's Federation Square, Sydney's King Street Wharf, a pub under development in Brisbane, and Albury and Wagga in New South Wales.
The acquisition positions the pubs group well ahead of initial public offer later this year.
“We are delighted at the prospect of Beer DeLuxe joining the Dixon stable. It is a very successful brand and we intend to continue the commitment of great service and an outstanding range of beer,” Dixon director of corporate development, Michael Dixon told Australian Brews News.
“Given our corporate strength and resources we are able to continue building the brand and investing in the concept.”
Dixon, Australia’s largest non-gaming pub group, has been talking to investors about a possible $300 million ASX listing in the second half of 2016.
Led by Michael Dixon, the son of former Spotless chief Bruce Dixon, the group has been sounding out potential investor including a fund connected with gaming billionaire James Packer and businessman and Collingwood president Eddie McGuire.
As part of the strategy, the business has beefing up its stable of pubs to expand the portfolio ahead of the float. As a result, it’s been on an acquisition trail, picking up the iconic gastro-pub O'Connell's in South Melbourne last year, following the purchase of the Open Door Pub Co, comprised of 17 venues in Melbourne's CBD and inner suburbs.
Bruce Dixon will be chief executive after Dixon lists, while former Macquarie Group chairman Kevin McCann will be chair.
by Leon Gettler, May 17th 2016
