Wanda Sports Group Completes Sale of The IRONMAN Group
Wanda Sports Group Company Limited (Nasdaq: WSG) announced Monday that it has completed the previously announced sale of The IRONMAN Group to Advance, reflecting an enterprise value of $730 million.
Wanda said it used a portion of the net proceeds to repay the principal amount of $240 million and related interest and fees outstanding under its existing 364-day facility and intends to repay $50 million outstanding under a promissory note issued to Wanda Sports & Media (Hong Kong) Holding Co. Limited.
"The successful completion of this transaction within the anticipated time frame was a priority for us. We believe that through this completion, we achieved one of the critical steps towards increasing our financial stability and reducing debt leverage, " Hengming Yang, the president and chief executive officer of Wanda Sports Group stated.
He added, "I am pleased that The IRONMAN Group will continue to work with us to further expand our mass participation business, in China, for the benefit of all of our stakeholders. We remain committed to growing our Mass Participation segment globally and driving further growth in the Chinese market."
The Beijing-based company reported last month that revenue in the first quarter was $180.3 million, down 25% year-over-year. Net loss in the three months through March amounted to $26.5 million, or 13 cents per share, up 179% from the previous year.
Shares in Wanda Sports were trading at $2.16 apiece intraday Monday, up slightly.