The Cirque du Soleil has signed a deal to sell a majority stake to U.S. private equity firm TPG for an undisclosed price, the world-renowned circus troupe announced on Monday.
Billionaire Cirque founder Guy Laliberte will maintain a 10 per cent stake in the business and continue to provide strategic and creative input to the company.
“I want to set other creative challenges for myself,” Laliberte, said at a news conference in Montreal.
Laliberte, 55, said he didn’t want to pass the business onto his five children.
“They have their dreams and as a father I have made the commitment to support them as they chase them,” he said. “I don’t really believe in the idea of the second generation of entrepreneurs. From the outset, I didn’t want to put the pressure of running the circus on their shoulders.”
Cirque du Soleil is known for its cutting-edge shows featuring aerialists, acrobats and contortionists. Since 1984, Cirque has played to almost 160 million spectators in more than 330 cities in 48 countries. It has been one of Canada’s major success stories in the business and entertainment worlds.
Laliberte dismissed any suggestions the Cirque is in financial difficulty, saying it is a profitable venture that sells 11 million tickets a year.
Chinese investment firm Fosun and Quebec pension fund management firm Caisse de depot will hold minority stakes, while Quebec businessman Mitch Garber will become Cirque chairman.
TPG is the world’s largest casino owner with a stake in Caesar’s Entertainment, while Fosun owns Club Med resorts.
The new owners plan to expand Cirque’s presence in China. They also want to expand third-party licensing deals, digital media and ticket sales.
Cirque du Soleil has 4,000 employees worldwide.
