Moelis eyes ASX listing of Redcape Hotel Group

Moelis eyes ASX listing of Redcape Hotel Group
Moelis eyes ASX listing of Redcape Hotel Group

Moelis Australia is weighing up an ASX listing of the Redcape Hotel Group this year.

In July 2017, a Moelis Fund acquired the Redcape Hotel Group for $676m representing an asset level capitalisation rate of 9.6%.

Redcape is the second largest gaming hotel operator in NSW and consists of 25 hotels, 22 of which are located in NSW and 3 in Queensland. 

Moelis' chief executive Andrew Pridham confirmed Moelis' intention to consider a listing for Redcape in 2018, but said the ultimate decision would depend on market conditions.

Moelis acquired Redcape from US hedge fund owners Varde Partners and York Capital.

Redcape had a property portfolio comprising of 82 properties including 71 pubs and 11 shops based mainly in Queensland and NSW, with a small number of properties in Victoria and SA in 2011.

In 2011 The hedge fund consortium bought 38% of Redcape's $645 million worth of secured senior debt for around $200m and also acquired all of the $157 m worth of debt of National Leisure and Gaming, Redcape’s major tenant for between $ 35m and $40m.

The listed pub sector was battered during the GFC.

Tags: 
Hotel Asx

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