James Packer sells Perisher Blue ski resort for $176 million to US company Vail Resorts

CASINO and movie mogul James Packer has sold his Snowy Mountains ski resort Perisher Blue to America’s Vail Resorts for $176.6 million.

CASINO and movie mogul James Packer has ended his family’s 43-year association with Snowy Mountains ski resort Perisher Blue, selling out to America’s Vail Resorts for $176.6 million.

Mr Packer’s private company, Consolidated Press Holdings, signed the deal after months of confidential talks, although the NSW government will need to approve the sale.

Vail, America’s biggest mountain resort operator, is expected to take over Australia’s most visited ski resort by the end of May.

Perisher Blue has now been sold to America’s Vail Resorts.

Vail chairman Rob Katz told The Daily Telegraph he believed the company, which owns nine high-quality ski resorts in the US, can significantly lift revenues in the short-term.

The central strategy will be leveraging Vail’s American assets by offering free season-long ski passes to Perisher pass holders.

“Australian skiers are one of the most coveted customer markets in the world,’’ Mr Katz said.

“There’s something like one million Australian skier visits each year to resorts in North America, Japan and Europe.’’

$176.6 million price tag.... the Perisher Blue resort.

Under the marketing plan, Perisher’s Freedom Pass, which goes up for sale this week at $749, will include access to Vail resorts including Breckenridge in Colorado, Park City and Canyons in
Utah and Heavenly, Northstar and Kirkwood in California
and Nevada.

A property industry source said the sale was an opportunity to obtain fair value for the long-held asset on a multiple of 8.8 times EBITDA. Vail expects Perisher to generate incremental resort reported EBITDA of around $20 million during its first twelve months of operation following the purchase.

Packer pictured with ex-wife Erica at her father’s funeral in Gunnedah last week. Picture: Nathan Edwards

The acquisition includes the resort areas known as Perisher Valley, Smiggin Holes, Blue Cow and Guthega.

CPH essentially inherited 73 per cent of Perisher Blue in 1972 when it acquired Perisher Smiggins and the Perisher Hotel through its purchase of Murray Publishers. The deal will need final approval from the NSW government, as Perisher holds a long-term national parks lease, which expires
in 2048.

Mr Packer, estimated to be worth $6.6 billion, has sold many of his non-core assets in Australia in recent years across a range of industries, including beef processing, cosmetics, leisure and entertainment, financial services and media.