Changes afoot at Dixon Hospitality
There’s been plenty of movement at the Melbourne-based Dixon Hospitality Group which has been beefing up its stable of pubs to expand the portfolio ahead of its $300 million float on the stock exchange.
The Group picked up iconic gastro-pub O'Connell's in South Melbourne last year.
They followed that up with the purchase of the Open Door Pub Co, comprising 17 venues in Melbourne's CBD and inner suburbs.
And in November, the group acquired six much loved Sydney venues: Bungalow 8, Cargo Bar, The Rook, The Winery, Manly Wine and Kingsley’s Woolloomooloo.
The leaseholds were sold for an undisclosed sum by receiver Ferrier Hodgson on behalf of Keystone Group, which was put in receivership June when it was not able to refinance an $80 million debt to private equity firms KKR and Olympus Capital.
All of this fits in with the company’s strategy of focusing on food and beverages with minimal gambling options.
The company says six Keystone venues will give it good presence in Sydney and will complement its Barangaroo venues which are currently under construction.
The Dixon Group, Australia’s largest non-gaming pub group now has 13 venues in Sydney and 26 in Melbourne. It also has three pubs in the Riverina and a bar in Brisbane.
When the group finally lists, former Spotless chief Bruce Dixon, who has a majority shareholding in Dixon Hospitality, will lead the board as chief executive. Paul Waterson will be chief operating officer.
But the big question now is what will happen to his son Michael.
The media is now reporting that Michael, Dixon Hospitality’s corporate development manager, will leave the management when the company floats next year.
According to Bruce Dixon, Michael will put his energy into the company’s three party boats.
“We have become a bit corporate for him,’’ Mr Dixon told The Australian
He dismissed suggestions of any split in the family. This was always the plan, he said.
by Leon Gettler, December 8th 2016
