Adelaide-headquartered SeaLink (ASX:SLK) has announced the acquisition of Kingfisher Bay Resort Group for $43 million.
SeaLink estimates that Kingfisher Bay Resort Group accounts for 90% of accommodation options and the majority of touring experiences on the island.
The acquisition includes two island resorts, land, buildings, a tour company, and a ferry business.
The assets and operations of the group are on the World Heritage-listed Fraser Island, located 300km north of Brisbane in Queensland.
SeaLink purchased the resorts from Cosmos Australia Pty Ltd, an entity owned by Cosmos Initia Co Ltd of Japan.
SeaLink Managing Director Jeff Ellison, praised the prime piece of real estate picked up in the deal.
“Fraser Island is one the most iconic destinations in Australia and is famous throughout the world for its Word Heritage listed wonders. Located 15km off Queensland’s coast, Fraser Island stretches 123km in length, and is the world’s largest sand island,” he said.
SeaLink is also opening a new business hub in Brisbane to manage its growing Queensland operations.
The market has responded well to the deal, with SeaLink’s share price rising from $3.95 on Wednesday morning, when the deal was announced, up to $4 buy Thursday afternoon.