Tourism Holdings picks up KEA motorhome licence in Australia

Friday 15th June 2012

Tourism Holdings, the NZX-listed campervan rental company, has acquired the KEA Rentals and Sales Motorhome brands in Australia from KEA New Zealand for an undisclosed sum.

The purchase will add about 5 percent to THL’s Australian fleet of about 1,450 vehicles and the price was below the level required to be disclosed under NZX rules, chief executive Grant Webster said.

The previous agents for KEA Australia have ceased trading and appointed liquidators for their business. Webster said the circumstances of the sale meant THL was able to make the acquisition for a favourable price.

THL and KEA New Zealand in February formed a join venture to run their respective motorhome and campervan manufacturing businesses.

THL has leased enough of the KEA design fleet to ensure there is minimal disruption for existing customers, it said in a statement today.

“The KEA brand in Australia nicely compliments THL’s existing Maui motorhome product in Australia, providing a different vehicle and experience that extends and enhances the THL product suite,” Webster said.

THL and KEA New Zealand plan to “explore potential cost synergies between their businesses” in future. The acquisition won’t have a material impact on THL’s results for the year ending June 30.

Shares of THL last traded at 56 cents and have fallen about 19 percent in the past 12 months.

BusinessDesk.co.nz

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