Village sale to cut debt

THEME parks and cinema operator Village Roadshow is to sell its 50 per cent stake in Singapore cinema business Golden Village for $165 million.

In an announcement to the ASX yesterday, Village Roadshow said Orange Sky Golden Harvest Entertainment Holdings, who own the other half of Golden Village, would become the sole owner.

Village Roadshow will make a $150 million net profit from the sale with proceeds to go towards reducing the company’s debt.

The group had planned to sell its stake to Singapore filmmaker mm2Asia Ltd in June for $175 million.

However, the sale was not finalised.