Media and marketing services Transaction services

Acquisition of HQ Theatres & Hospitality by Trafalgar Entertainment

26 January 2019

Moore Kingston Smith has supported Trafalgar Entertainment Group with its corporate acquisition of HQ Theatres and Hospitality, with Trafalgar adding eleven live entertainment venues to their portfolio following completion of the deal in March.

Specialists from our corporate finance and M&A tax teams provided financial and taxation due diligence and advisory services. Our financial analysis included reviews of the different revenue streams and cost centres of each venue’s theatre and hospitality operations, as well as the theatre operating contracts. We also analysed each of the special purpose vehicles’ balance sheets.

Both teams also assisted in the review of the financial and tax warranties in the sale and purchase agreement and the structuring of intercompany debts.

Trafalgar Entertainment Group is a premium international live entertainment business, with a focus on theatre productions and the distribution of live-streaming innovative content. They engaged our corporate finance and tax teams to provide due diligence and transaction support on their acquisition of HQ Theatres and Hospitality.

HQ Theatres and Hospitality are the operators of eleven theatres and cultural venues situated around the UK, providing food and beverage services as well as theatre operations.

Paul Winterflood, Corporate Finance Partner, said: “It has been great working with the team at Trafalgar on this transaction. As UK lockdown measures continue to ease, Trafalgar and the theatre industry will no doubt see an increase in activity with venues filling up with avid theatre-goers once again”.

If you are considering making an acquisition and need assistance, please contact us.