1 00:00:00,080 --> 00:00:02,639 Speaker 1: Now sky City is after all going to go ahead 2 00:00:02,640 --> 00:00:05,040 Speaker 1: with that capital raise. It's looking to raise two hundred 3 00:00:05,080 --> 00:00:08,480 Speaker 1: and forty million dollars. Announced today that they have a 4 00:00:08,480 --> 00:00:10,520 Speaker 1: forty two percent drop in profit for the year, down 5 00:00:10,560 --> 00:00:13,600 Speaker 1: to seventy one point five million dollars now. Jason Woolbridge 6 00:00:13,720 --> 00:00:16,920 Speaker 1: is sky City's chief executive High Jason, Hi, Heather, are 7 00:00:16,920 --> 00:00:19,560 Speaker 1: you worried about Alan Gray's opposition to your capital raise. 8 00:00:20,640 --> 00:00:25,560 Speaker 2: We've certainly taken into account all of our major investors feedback. 9 00:00:25,960 --> 00:00:28,880 Speaker 2: We believe that we're acting in the best interests of 10 00:00:28,960 --> 00:00:31,960 Speaker 2: the company and you know, we were pleased to be 11 00:00:32,000 --> 00:00:35,600 Speaker 2: able to announce our FY twenty five results today along 12 00:00:35,680 --> 00:00:38,360 Speaker 2: with the equity rays of two hundred and forty million dollars. 13 00:00:38,479 --> 00:00:40,839 Speaker 1: The point that Alan Gray's making is that you guys 14 00:00:40,880 --> 00:00:43,120 Speaker 1: should be selling as many assets as you can first. 15 00:00:43,200 --> 00:00:43,920 Speaker 1: Is that a fair point? 16 00:00:45,200 --> 00:00:48,239 Speaker 2: We agree we need to monetize some assets. You know, 17 00:00:48,280 --> 00:00:51,360 Speaker 2: we're a fantastic quality business. We're a key part of 18 00:00:51,440 --> 00:00:55,080 Speaker 2: New Zealand and South Australian economy and the equity rays 19 00:00:55,160 --> 00:00:58,280 Speaker 2: and selling some asse sets is about paying down debt 20 00:00:58,560 --> 00:01:00,600 Speaker 2: and resetting our balance sheet for the future. 21 00:01:00,760 --> 00:01:03,000 Speaker 1: Yeah, do you not have enough assets though to avoid 22 00:01:03,000 --> 00:01:03,760 Speaker 1: the capital rays. 23 00:01:05,000 --> 00:01:08,880 Speaker 2: It's all about timing. We've been working hard on monetizing 24 00:01:08,920 --> 00:01:12,040 Speaker 2: the car parks and the commercial building. These things unfortunately 25 00:01:12,120 --> 00:01:14,200 Speaker 2: take time in a tough New Zealand economy. 26 00:01:14,480 --> 00:01:17,600 Speaker 1: Okay, how is it going with the sales that you 27 00:01:17,600 --> 00:01:19,200 Speaker 1: already have underwe or that you're planning to do. 28 00:01:20,040 --> 00:01:22,880 Speaker 2: Yeah, we've been underway with the car park for about 29 00:01:22,920 --> 00:01:25,640 Speaker 2: six months now. It's going to take us another six 30 00:01:25,680 --> 00:01:29,000 Speaker 2: to twelve months, and the commercial buildings will just take 31 00:01:29,080 --> 00:01:29,840 Speaker 2: us a little bit longer. 32 00:01:30,560 --> 00:01:32,200 Speaker 1: It's a rubbish time to be trying to sell that 33 00:01:32,280 --> 00:01:34,160 Speaker 1: kind of stuff, isn't it. 34 00:01:34,160 --> 00:01:36,360 Speaker 2: It's not the best time. It's a tough New Zealand 35 00:01:36,360 --> 00:01:39,280 Speaker 2: economy for all New Zealanders as well as companies like 36 00:01:39,400 --> 00:01:40,840 Speaker 2: us trying to sell key assets. 37 00:01:40,880 --> 00:01:43,560 Speaker 1: Hey, are you seeing a difference in how you guys 38 00:01:43,600 --> 00:01:45,560 Speaker 1: are doing over in Australia versus how you doing here? 39 00:01:46,880 --> 00:01:51,080 Speaker 2: It's certainly different economies. The South Australian economy is very 40 00:01:51,120 --> 00:01:55,000 Speaker 2: strong versus here in New Zealand. We have seen less 41 00:01:55,000 --> 00:01:59,800 Speaker 2: spend per visit, but across both jurisdictions, visitations remained really 42 00:01:59,800 --> 00:02:01,280 Speaker 2: so wrong and we're thrilled about that. 43 00:02:01,520 --> 00:02:03,440 Speaker 1: Why Is it so much stronger in South Australia do 44 00:02:03,480 --> 00:02:03,800 Speaker 1: you think? 45 00:02:04,800 --> 00:02:08,000 Speaker 2: I think it's just a different economy. They've rebounded back 46 00:02:08,080 --> 00:02:11,760 Speaker 2: post COVID with tourism a lot stronger. They're focused on 47 00:02:11,840 --> 00:02:15,040 Speaker 2: bringing big events to South Australia. You know, all the 48 00:02:15,080 --> 00:02:17,359 Speaker 2: things that New Zealand knows how to do, and we're 49 00:02:17,360 --> 00:02:19,880 Speaker 2: getting back to doing those things. It's just taking us 50 00:02:19,880 --> 00:02:20,519 Speaker 2: a little while. 51 00:02:20,680 --> 00:02:22,960 Speaker 1: Do you support the calls that are increasingly coming out 52 00:02:23,000 --> 00:02:26,760 Speaker 1: of Auckland for some sort of assistance for Auckland. 53 00:02:28,560 --> 00:02:31,080 Speaker 2: For the city overall, I'm not really sure about that. 54 00:02:31,160 --> 00:02:34,040 Speaker 2: You know, we're focused on what we can control as SkyCity. 55 00:02:34,760 --> 00:02:39,080 Speaker 2: We're excited about the convention Center opening in February. We're 56 00:02:39,160 --> 00:02:44,160 Speaker 2: going to bring down up to five hundred thousand delegate 57 00:02:44,280 --> 00:02:47,680 Speaker 2: days worth of activity into the city and that fills 58 00:02:47,760 --> 00:02:51,359 Speaker 2: up hotels and restaurants and bars. So you know, that's 59 00:02:51,400 --> 00:02:53,920 Speaker 2: where we're our focus is at the moment. What are 60 00:02:53,960 --> 00:02:54,840 Speaker 2: the things we can control? 61 00:02:54,960 --> 00:02:56,720 Speaker 1: Yeah, what about the bed levy? Would you support that? 62 00:02:57,919 --> 00:03:02,239 Speaker 2: We're certainly supportive of something of that nature. We would 63 00:03:02,360 --> 00:03:05,520 Speaker 2: like to see more major events coming back to New 64 00:03:05,600 --> 00:03:09,120 Speaker 2: Zealand and we need to be able to fund the 65 00:03:10,120 --> 00:03:13,239 Speaker 2: activity that's required to bring those events down here. 66 00:03:13,520 --> 00:03:16,240 Speaker 1: Because is it just me or is it actually is 67 00:03:16,240 --> 00:03:18,840 Speaker 1: there like a bit of a dearth of good things 68 00:03:18,880 --> 00:03:20,160 Speaker 1: on our calendar in Auckland. 69 00:03:21,320 --> 00:03:23,080 Speaker 2: There is. We're in a little bit of a drought 70 00:03:23,120 --> 00:03:25,000 Speaker 2: at the moment. You know, we would love to see 71 00:03:25,000 --> 00:03:27,079 Speaker 2: some more things, and that's why we're excited about the 72 00:03:27,080 --> 00:03:29,120 Speaker 2: convention Center. You know, we're going to open in February. 73 00:03:29,160 --> 00:03:31,440 Speaker 2: We've got thirty odd events in the first four or 74 00:03:31,440 --> 00:03:32,040 Speaker 2: five months. 75 00:03:32,080 --> 00:03:34,280 Speaker 1: I mean, look, Jason, you might be excited about the 76 00:03:34,280 --> 00:03:36,800 Speaker 1: convention Center. I'm not excited about the convention Center. It's 77 00:03:36,800 --> 00:03:38,080 Speaker 1: not going to give me a concert I can. 78 00:03:38,000 --> 00:03:40,760 Speaker 2: Go to, is it. Well, it may do. We haven't 79 00:03:40,800 --> 00:03:43,720 Speaker 2: announced the launch events yet here that there may be 80 00:03:43,760 --> 00:03:46,520 Speaker 2: something in there that you look forward to. 81 00:03:46,680 --> 00:03:49,200 Speaker 1: No, perhaps so, But I mean, listen, tell me, you 82 00:03:49,200 --> 00:03:50,840 Speaker 1: know you're an expert in this kind of thing. I'm 83 00:03:50,840 --> 00:03:52,720 Speaker 1: looking at the calendar. I'm thinking, Jesus, a bit dry 84 00:03:52,720 --> 00:03:54,480 Speaker 1: out there at the minute. How much more should we 85 00:03:54,520 --> 00:03:56,320 Speaker 1: actually have on the calendar than we do? 86 00:03:58,200 --> 00:04:01,160 Speaker 2: Look, particularly through the winter pair, it'd be lovely to 87 00:04:01,200 --> 00:04:04,440 Speaker 2: see more events, you know, one or two events every month. 88 00:04:04,560 --> 00:04:06,640 Speaker 2: Just think back to October last year when we had 89 00:04:06,720 --> 00:04:09,360 Speaker 2: Coldplay in town. Yeah, what a big difference that made 90 00:04:09,440 --> 00:04:11,600 Speaker 2: to the city. That's the sort of stuff that we 91 00:04:11,720 --> 00:04:14,200 Speaker 2: really want to see in Auckland happening far more often. 92 00:04:14,320 --> 00:04:15,800 Speaker 1: So, if you could put your finger on the thing 93 00:04:15,800 --> 00:04:18,120 Speaker 1: that's causing us to not have those things on the calendar, 94 00:04:18,160 --> 00:04:18,800 Speaker 1: what is it. 95 00:04:20,400 --> 00:04:23,080 Speaker 2: Right now? At the moment? It's funding. You know, these 96 00:04:23,240 --> 00:04:26,799 Speaker 2: events work on a two to three four year horizon. 97 00:04:26,920 --> 00:04:30,960 Speaker 2: We've got to be booking these events now for twenty seven, 98 00:04:31,080 --> 00:04:33,599 Speaker 2: twenty eight, and twenty nine. Our sales team for the 99 00:04:33,640 --> 00:04:37,279 Speaker 2: convention Center are selling on a three to five year horizon. 100 00:04:37,400 --> 00:04:40,919 Speaker 2: We've already got events in the calendar for twenty seven 101 00:04:40,960 --> 00:04:41,640 Speaker 2: and twenty eight. 102 00:04:41,880 --> 00:04:44,640 Speaker 1: Have we got events for Auckland? Have we booked things 103 00:04:44,720 --> 00:04:45,800 Speaker 1: for two three years out? 104 00:04:46,839 --> 00:04:49,640 Speaker 2: Yeah, I'm not sure of specific events that we've got. 105 00:04:50,080 --> 00:04:52,400 Speaker 2: You'd need to talk to the team at Heart of 106 00:04:52,400 --> 00:04:54,320 Speaker 2: Auckland and Tataki Unlimited. 107 00:04:54,720 --> 00:04:57,800 Speaker 1: Yeah, fair point. Now, you spoke about the convention Center, 108 00:04:57,839 --> 00:04:59,840 Speaker 1: which obviously is fantastic for you guys, and you're getting 109 00:04:59,839 --> 00:05:01,400 Speaker 1: the care in February. How much is that going to 110 00:05:01,400 --> 00:05:03,239 Speaker 1: turn around the fortunes of your business? Do you reckon? 111 00:05:04,080 --> 00:05:06,719 Speaker 2: It's a game changer for us. As we ramp that 112 00:05:06,800 --> 00:05:11,240 Speaker 2: property to full capacity, we're hoping to see five hundred 113 00:05:11,240 --> 00:05:14,200 Speaker 2: thousand odd visited days worth of activity there. You know, 114 00:05:14,200 --> 00:05:18,279 Speaker 2: it's people in our hotels, restaurants into our casino, and 115 00:05:18,320 --> 00:05:20,240 Speaker 2: it's not only good for sky City, it's good for 116 00:05:20,360 --> 00:05:24,719 Speaker 2: every hotel operator, every restaurant operator in the city of Auckland. 117 00:05:25,120 --> 00:05:27,160 Speaker 1: And this business with Fletcher in the court case, how 118 00:05:27,200 --> 00:05:28,440 Speaker 1: long is that going to take? Do you think? 119 00:05:29,360 --> 00:05:31,800 Speaker 2: Yeah, I'm not sure. You know, it's never a decision 120 00:05:31,839 --> 00:05:34,400 Speaker 2: that any company wants to make, but we just failed. 121 00:05:34,400 --> 00:05:37,400 Speaker 2: It was the best interest of our shareholders the building 122 00:05:37,440 --> 00:05:40,120 Speaker 2: six and a half years late. You know, at some 123 00:05:40,240 --> 00:05:43,000 Speaker 2: point we need to sit down and settle up. What's 124 00:05:43,040 --> 00:05:43,560 Speaker 2: happened there. 125 00:05:43,680 --> 00:05:45,640 Speaker 1: Yeah, Hey, Jason's good to talk to you and thank 126 00:05:45,680 --> 00:05:48,640 Speaker 1: you for your time. Jason Woolbridge, Chief executive of sky City. 127 00:05:49,440 --> 00:05:52,640 Speaker 1: For more from Heather Duplessy Allen Drive, listen live to 128 00:05:52,720 --> 00:05:55,760 Speaker 1: news Talks. It'd be from four pm weekdays, or follow 129 00:05:55,800 --> 00:05:57,560 Speaker 1: the podcast on iHeartRadio.