Warner Sells Stake in Venture

Village Roadshow Ltd., Australia’s biggest cinema chain, agreed to pay $192 million for Time Warner Inc.’s stake in their theme park joint venture in Queensland state.

The agreement gives Village full ownership of theme parks including Warner Bros. Movie World, Sea World and Wet ‘n’ Wild Water World, the Melbourne, Australia-based company said. Village will also assume Time Warner’s share of the venture’s debt.

Village will enter a long-term licensing agreement with New York-based Time Warner for the parks, which may include an expansion into branded venues in Asia.

The acquisition will be funded with bank debt and Village’s cash reserves. Depreciation charges in the theme parks will initially lower Village’s earnings per share, it said.