Echo Entertainment announces plans to sell Jupiters Townsville

    Echo Entertainment Group today announced that it had agreed to sell its Jupiters Townsville Complex to Colonial Leisure Group (CLG) for $70 million, subject to the required regulatory approvals being obtained.  The purchase price represents 10 times 2013 EBITDA.  Echo expects to make a pre-tax profit of around $8 million on the transaction. Managing Director and CEO of Echo, John Redmond, said, “Recent performance of Jupiters Townsville has been positive, however given the scale of operations and the size of the local market, we saw more limited expansion opportunities, and therefore a strategic fit, with the group’s other assets.” CLG is an Australian listed company that operates 15 hotels in Victoria and Western Australia, as well as other assets in Northern Queensland.