U.S. private equity firm TPG Capital and Shanghai-based Chinese conglomerate Fosun International Limited have agreed to acquire a majority stake in Canadian entertainment firm, Cirque du Soleil, according to a company announcement.
TPG is to acquire a majority stake, while Fosun will purchase a minority stake to help the company launch and expand in China.
At the same time, Canada’s second-largest pension fund, Caisse de dépôt et placement du Québec, will also acquire a minority interest.
Specific terms of the deal were not disclosed. The transaction is expected to close in the third quarter of 2015.
Québec businessman Mitch Garber, who has strong business ties to TPG, will also be part of the investor group. Garber will become chairman of Cirque du Soleil.
Cirque du Soleil’s founder, Guy Laliberté, will maintain a stake in the business, and will continue to provide input to the company. Daniel Lamarre will remain as Cirque’s president and CEO.
"To date, Fosun has established a global prototype for platforms that capture lifestyle trends in China. Building on top of this model, we have an objective to become one of the global leaders in businesses driven by lifestyle needs, which are quickly taking root in China," says Guo Guangchang, chairman of Fosun.
Founded in 1984, Québec, Canada-based Cirque du Soleil has reached almost 160 million spectators in over 330 cities and 48 countries. In 2015, 18 shows will simultaneously be presented around the world.