Experience (ASX:EXP) expanded its adventure tourism footprint with the AU$1.3 million acquisition of West Beach Adventure in Adelaide and a AU$4 million Queensland Government grant to help fund its new Reef Magic IV vessel, according to an Australian bourse filing on Tuesday after market hours.
The acquisition of West Beach Adventure extends the company's Treetops Adventure network into South Australia, with the asset attracting over 20,000 visitors annually and generating around AU$450,000 in pro forma earnings before interest, taxes, depreciation, and amortization, per the filing.
Additionally, Reef Magic Cruises secured funding for Reef Magic IV, a new 32-meter vessel to be built in Brisbane and launched by December 2027, the filing said. The vessel will lift capacity by around 25% to 385 passengers, add a premium class, and incorporate a new ride control technology.
The project is estimated to cost AU$10.6 million in total, with the company's net contribution reduced to around AU$4.7 million after accounting for grant funding and proceeds from vessel disposal, the filing added.