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DXB plans US$1.15bn restructuring following losses increase for 2017
POSTED 13 Feb 2018 . BY Tom Anstey
DXB Entertainments – the operator of Dubai Parks and Resorts – is planning to restructure a debt of US$1.15bn (€931m, £827m) as the attraction continues to struggle after missing expectations on visitor numbers.

According to multiple reports, the operator is planning to reschedule a loan agreement signed in 2014, and is requesting that repayments are frozen for a period of three years. A spokesperson for the company said that it “periodically” reviews its capital structure to ensure the “right funding terms to meet our strategic objectives”.

For the year, DXB posted losses of US$305m (€246.9m, £219.2m) – more than double that of its launch year in 2016.

Despite visitor numbers rising and a new cost-cutting strategy being introduced, losses were heavy for 2017, even higher than the US$244m (€197.5m, £175.3m) loss predicted by financial analysts. Revenue increased significantly from US$20.7m (€16.7m, £14.9m) to US$150.3m (€121.7m, £108m), though the initial figures only accounted for the final three months of 2016 when its Lego, Bollywood and Hollywood-themed parks first opened.

“The strategy for 2017 was focused on driving visits to the theme parks with a revised pricing strategy and targeted marketing to Gulf residents and key international source markets,” said Mohamed Almulla, managing director and CEO of DXB Entertainments.

“The company delivered operational cost savings during 2017 through realising operational synergies and cost optimisation,” he added.

Visitation has trended positively for DXB, with 2.3 million visiting in 2017 and the year’s last quarter showing a marked improvement on the previous three months, with a 66 per cent increase in visitor numbers to 796,000 visits, boosted by the launch of its new Hunger Games attraction at Motiongate Dubai. The rise was anticipated, however with Dubai’s fourth quarter typically associated with the region’s high tourist season.
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World of the Hunger Games comes to Motiongate Dubai


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Almost a year on from the launch of its multi-billion pound theme park and resort development in Dubai, operator DXB Entertainments has announced a significant losses for the second quarter of 2017.
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DXB Entertainments, the operator of Dubai Parks and Resorts, has said it will cut operating costs by 20 per cent this year after posting losses of AED292m (US$79.5m, €73.1m, £61.8m) in the first quarter of 2017.
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NEWS
DXB plans US$1.15bn restructuring following losses increase for 2017
POSTED 13 Feb 2018 . BY Tom Anstey
DXB Entertainments – the operator of Dubai Parks and Resorts – is planning to restructure a debt of US$1.15bn (€931m, £827m) as the attraction continues to struggle after missing expectations on visitor numbers.

According to multiple reports, the operator is planning to reschedule a loan agreement signed in 2014, and is requesting that repayments are frozen for a period of three years. A spokesperson for the company said that it “periodically” reviews its capital structure to ensure the “right funding terms to meet our strategic objectives”.

For the year, DXB posted losses of US$305m (€246.9m, £219.2m) – more than double that of its launch year in 2016.

Despite visitor numbers rising and a new cost-cutting strategy being introduced, losses were heavy for 2017, even higher than the US$244m (€197.5m, £175.3m) loss predicted by financial analysts. Revenue increased significantly from US$20.7m (€16.7m, £14.9m) to US$150.3m (€121.7m, £108m), though the initial figures only accounted for the final three months of 2016 when its Lego, Bollywood and Hollywood-themed parks first opened.

“The strategy for 2017 was focused on driving visits to the theme parks with a revised pricing strategy and targeted marketing to Gulf residents and key international source markets,” said Mohamed Almulla, managing director and CEO of DXB Entertainments.

“The company delivered operational cost savings during 2017 through realising operational synergies and cost optimisation,” he added.

Visitation has trended positively for DXB, with 2.3 million visiting in 2017 and the year’s last quarter showing a marked improvement on the previous three months, with a 66 per cent increase in visitor numbers to 796,000 visits, boosted by the launch of its new Hunger Games attraction at Motiongate Dubai. The rise was anticipated, however with Dubai’s fourth quarter typically associated with the region’s high tourist season.
RELATED STORIES
World of the Hunger Games comes to Motiongate Dubai


The world’s first Hunger Games theme park attraction has opened to the public in Dubai, as Lionsgate and DXB Entertainments celebrated the highly anticipated launch at the operator’s recently opened Motiongate park in the UAE.
DXB reshapes business following poor second quarter


Almost a year on from the launch of its multi-billion pound theme park and resort development in Dubai, operator DXB Entertainments has announced a significant losses for the second quarter of 2017.
DXB Entertainments names Almulla as new CEO following Al Nuaimi departure


DXB Entertainments, owner of Dubai Parks and Resorts, has named Arab Media Group (AMG) chief executive Mohamed Almulla as its new CEO.
DXB cutting costs by 20 per cent after posting Q1 loss


DXB Entertainments, the operator of Dubai Parks and Resorts, has said it will cut operating costs by 20 per cent this year after posting losses of AED292m (US$79.5m, €73.1m, £61.8m) in the first quarter of 2017.
MORE NEWS
World Animal Protection report accuses accredited zoos of animal cruelty
Zoos and aquariums associations have criticised a report by World Animal Protection (WAP) which claims to have identified numerous examples around the world of wild animals being used in cruel and demeaning ways in the name of visitor entertainment.
New York flagship announced for Museum of Ice Cream as operator plans international expansion
The Museum of Ice Cream (MOIC) has announced plans to open several new locations, both in the US and internationally over the next 18 months, starting with its first New York City flagship in Q4 2019.
New visitor centre to be developed at Auschwitz-Birkenau following US$5.5m donation
A donation of US$5.5m (€4.96m, £4.55m) will go towards the development of a new visitor services centre at the Auschwitz-Birkenau Memorial – the museum located on the site of the World War Two Nazi concentration camp in Poland.
Kings Dominion unveils new water attractions for 2020
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Every dream is unique and should be brought to life without style limitations. [more...]
+ More profiles  
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Red Raion is the CGI studio specialized in media based attraction. Find out more...
More videos:
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Trailer Peter Pan - Saving Tinkerbell VR – Red Raion
Trailer Pinocchio - A Modern Tale VR – Red Raion
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CATALOGUE GALLERY
 

+ More catalogues  
DIRECTORY
+ More directory  
DIARY

16-19 Sep 2019

IAAPA Expo Europe 2019

Paris Expo Porte de Versailles, Paris, France
21-24 Sep 2019

ASTC 2019 Annual Conference

Ontario Science Centre, Toronto, Canada
+ More diary  
 


ADVERTISE . CONTACT US

Leisure Media, Portmill House, Portmill Lane,
Hitchin, Hertfordshire SG5 1DJ Tel: +44 (0)1462 431385

©Cybertrek 2019

ABOUT LEISURE MEDIA
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