CVC Joins PAG to Partner with Australian Venue Co in New Era of Growth

Australian Venue Co, one of the country’s biggest owners of pubs, bars and hotels, has attracted a new private equity partner to support its next phase of growth. 

CVC Capital Partners Asia VI, a private equity fund managed by CVC Capital Partners, the private equity strategy of leading global private markets manager CVC, has acquired a 45% stake in AVC from majority owner PAG, a leading Asia Pacific-focused alternative investment firm. Going forward PAG and CVC Capital Partners Asia VI will have an equal stake of 45% each in AVC with the remainder of the equity held by management. 

The deal will fuel the next round of growth for AVC, which currently operates 243 licensed venues, primarily pubs, as well as some bars and licensed restaurants across Australia and New Zealand. 

AVC Chief Executive Paul Waterson said the deal would allow the company to access additional funding needed to support the company in its ambitious growth plans. 

“The combination of CVC and PAG as owners will allow the company to meet its growth strategies to revamp existing premises and deliver better customer experience while also funding new opportunities in major population centres,” he said. 

Head of CVC Australia Richard Blackburn said: “We have long admired AVC and viewed it as best in class both in terms of its customer offering and operations. We’re excited to be partnering with a truly exceptional management team and with PAG to support the next phase of growth for AVC.” 

PAG Managing Director Sid Khotkar said the new partnership was a great result for both private equity firms and the AVC business. 

“We work to invest in strong businesses in Australia and help make them even stronger. This agreement is a testament to that approach and to AVC’s great success. We are happy to partner with CVC on this next exciting phase for Paul and the team.” 

AVC’s highly regarded management team will continue to drive the business forward.