DXB Entertainments, owner of Dubai Parks and Resorts, has taken a Dhs245m loan from its majority shareholder Meraas to cover operational expenses and debt repayments.
DXB Entertainment previously reported a Dhs247m loss (EBITDA) for the first six months of 2017, announced the restructuring exercise of the business and senior management team.
The loan from Meraas is interest bearing unsecured subordinated shareholder loan with no fixed maturity.
In a statement Mohamed Almulla, CEO, DXB Entertainments, said: “Meraas has been a great supporter of our business. This loan will enable the business to execute on its strategy which will generate value for its shareholders over the long-term.”
Dubai Parks and Resorts welcomed more than one million visitors during the first six months of the year, but has since reduced prices to attract UAE residents.
The Dhs10.5 billion first phase of Dubai Parks and Resorts includes motiongate Dubai, Bollywood Parks Dubai and LEGOLAND Dubai. Zawya reports that at the end of June 2017 the financing facility for the first phase had been drawn down.
Dubai Parks and Resorts is soon open a Lionsgate entertainment zone at motiongate Dubai.
The Dhs2.7 billion second phase of the mega theme park development, which includes Six Flags Dubai, is expected to open in late 2019. More info