Disney has once again upped its stake in Euro Disney, increasing total ownership of Disneyland Paris to 97.08 per cent ahead of a planned stock market delisting.
The company is looking to regain full control of its Paris park, which despite being Europe’s most visited attraction has struggled financially in recent years,
with the company carrying out a €1bn (US$1.06bn, £852m) restructuring of its debt in 2014.
Under the rules of France’s stock market, crossing the 95 per cent ownership threshold means Disney can now force a mandatory buyout of remaining shares, with the planned delisting to take place on 19 June.
“The mandatory buy-out will apply to all Euro Disney’s shares that the bidders do not own – 22,661,121 shares on the basis of a share capital of 783,364,900 shares,” said a statement.
“Euro Disney's shares will be delisted on 19 June 2017 after the closing of the markets, the date of implementation of the mandatory buy-out.”
Disney issued a rights issue open to all investors in 2015, with its third-largest stakeholder Invesco selling its 6 per cent stake in the business. At the time Disney owned 39.8 per cent of the park’s shares. In February, Disney increased its share to 85.7 per cent, with the purchase representing 90 per cent of Saudi Prince Alwaleed Bin Talal's Kingdom Holding’s shares.
Former Euro Disney president Tom Wolber, blamed a “continued economic softness, notably in France” on poor figures. The company and wider France have since struggled off the back of a string of terror attacks, most notably the November 2015 Paris attacks, which created “challenging business conditions in France and throughout Europe,” according to Disney.
