THE OWNER and operator of Arena Birmingham (cap. 15,800) and sister venue Genting Arena (15,700), NEC Group, has played down rumours of the company being on the market for a sale, following the publication of its earnings for the 2017/2018 financial year.
NEC, which also owns The Ticket Factory and caterer Amadeus, reported revenue of £162.1 million for the year ending 31 March 2018, seeing a £4.4 million and 2.8 per cent increase on the previous year.
The group’s earnings were up 9.8 per cent or £4.9m on the previous year to £54.7m before interest, taxation, depreciation and amortisation.
A NEC spokeswoman tells LIVE UK, “a strong performance allied with the private equity ownership of the group makes speculation regarding a possible sales process inevitable”, but declined to comment further on the rumour.
The group’s two arenas also saw their attendance levels grow by a total of 17 per cent to 1.6m compared to the previous year, helped by performances from artistes such as Drake, Lady Gaga and Ed Sheeran.
“This has been another exceptional year as we see further benefits of what is now a proven strategy,” says NEC Group CEO Paul Thandi.
NEC’s majority shareholder is Lloyds Development Capital (LDC), which completed its acquisition of the venue management company for £307m in 2015.
When contacted by LIVE UK LDC declined to comment.