Ardent seeks successor as head of US arm steps down

THE chief executive of Ardent Leisure’s US business will step down in November as the changes at the theme park group continue.

Ardent did not give a reason but said Charlie Keegan would consult for the business over the next year to help with an orderly transition.

A global search firm has been engaged to find a successor to lead the group’s Main Event operation through its next phase of development, Ardent said.

Morningstar analyst Brian Han said problems associated with the expansion of Main Event – which runs bowling, gaming and dining centres in the US – was one of the reasons for the emergence of shareholder unrest at the company.

Ardent earlier this month staved off a planned shareholder vote to overhaul the board by offering boardroom seats to two rebel investors.

“Recent growing pains in the US Main Event division and lingering impact from the October 2016 Dreamworld tragedy are hampering earnings and have led to the emergence of a substantial activist shareholder on the register,” Mr Han wrote in a report for investors.

“We see this as a positive in awakening the board and management, with initiatives to improve performance already under way.”

A better-than-expected finish to the financial year by Main Event helped Ardent lift earnings in a year that featured problems at its local theme park unit following the deaths of four people on a ride at Dreamworld on the Gold Coast.

The fallout from the tragedy included the departure of Deborah Thomas as group chief executive.

Mr Keegan led Main Event to a 30 per cent rise in full-year revenue, and a 5.6 per cent rise in earnings.

He had been involved with Main Event since 2006, overseeing its expansion from six bowling centres in Texas to 38 across the US, Ardent managing director Simon Kelly said.

Mr Keegan will step down on November 24.