Australian Venue Co (AVC), a hospitality firm owned by Hong Kong-based private equity firm PAG and CVC Capital Partners, has bought four pubs from Australian property investor Solotel.
The purchase price was not disclosed, but media reports suggested AVC paid between A$50-A$60m (€29m-€35m) for the assets, which included The Golden Sheaf and Barangaroo House, two of Sydney’s most popular venues.
The vendor said the combined sales represented “a reset” for the Solotel group into a smaller, sharper, Solomon family-led group with reinvestment planned in the remaining portfolio, as well as looking to grow in new bars and restaurants.
Elliot Solomon, Solotel CEO, said: “Hospitality very much remains our focus. The sale to AVC represents an opportunity to refocus the business on exceptional and unique venues, rather than scale.”
“This decision allows us to simplify the business, reduce complexity, and focus our energy on our remaining venues as well as new projects where we can be more hands-on,” said Solomon.
AVC, which was previously owned by KKR, operates around 200 pubs around Australia and has been on the market looking to acquire large-format, beverage-led venues, predominantly pubs in metro, suburban and regional areas.
In 2023, PAG acquired a majority stake in AVC from KKR for A$1.4bn. Following an investment from CVC last year, the company’s ownership is now split equally between PAG and CVC at 45% each, with the remaining 10% held by management.
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