The operator of the troubled Disneyland Resort Paris, Euro Disney SCA has successfully raised 253.3m euros (£176m, US$336m) through its rights issue, signalling the end of the company’s financial restructuring.
The company will now be able to press ahead with developments at its three parks, including the introduction of several new rides.
This year, the company will re-launch one of its most popular attractions as a completely new experience called Space Mountain: Mission 2. Then, in 2006, Buzz Lightyear’s Laser Blast – a ride-through attraction where guests help Buzz defend the universe against Emperor Zurg – will be introduced.
Walt Disney Studios Park will see the opening of Toon Studios in 2007 and and the Tower of Terror – a white-knuckle ride in a mysterious Hollywood hotel – in 2008.
The rights issue, launched on 20 February, offered existing shareholders the chance to purchase 2.8 billion new shares at 0.09 euros (£0.06, US$0.12) each – and was oversubscribed by 9 per cent.
Prior to the issue, the company’s second-largest shareholder, Prince Alwaleed Bin Talal, agreed to subscribe for up to 25m euros (£17m, US$33m) in additional shares in order to retain at least a 10 per cent ownership interest, while the largest shareholder, the Walt Disney company, undertook to subscribe to at least 100m euros (£70m, US$131m) of the rights issue.
The new shares will be admitted to trading on Euronext Paris and Euronext Brussels as of today (23 February). They will also be traded on the London Stock Exchange’s market for listed securities.
“We look forward to an exciting future as we begin an unprecedented, multi-year expansion of our resort offering,” said Andre Lacroix, chief executive officer of Euro Disney.
“Each of the years 2005-8 will bring even more rides and attractions to our resort. These investments, combined with an innovative marketing and sales strategy should set the foundation for sustained and profitable growth.”
