Highlights
- Imagicaaworld Entertainment announced a Rs 50 crore investment for a 50.002% stake in Mehsana Next Parks Private Limited.
- The transaction provides access to Shanku’s Water Park in Mehsana, Gujarat.
- The company will undertake Operations & Maintenance (O&M) activities and earn management fees in the range of 6%-10%.
- Shanku’s Water Park includes more than 25 acres of land and over 25 rides and attractions.
- The investment adds another operating asset to Imagicaaworld’s Gujarat presence.
Imagicaaworld Entertainment (NSE:IMAGICAA) Adds Mehsana Water Park Through Strategic Investment
Imagicaaworld Entertainment Limited has expanded its presence in Gujarat through an investment in Mehsana Next Parks Private Limited, the Special Purpose Vehicle (SPV) that owns and operates Shanku’s Water Park in Mehsana. The company announced an investment of Rs 50 crores for a 50.002% stake in the SPV as part of its portfolio expansion initiatives.
The transaction provides Imagicaaworld with participation in an existing water park asset while also creating an operational arrangement through which the company will manage certain activities at the property.
Transaction Structure and Investment Details
Under the announced transaction, Imagicaaworld Entertainment will invest Rs 50 crores for a 50.002% stake in Mehsana Next Parks Private Limited. The SPV owns and operates Shanku’s Water Park located in Mehsana, Gujarat.
Along with the equity investment, the company will partner with existing owners to expand the park’s offerings and undertake Operations & Maintenance (O&M) activities for the business. The company expects to earn management fees in the range of 6%-10% through this arrangement.
The structure combines ownership participation with operational involvement, allowing Imagicaaworld to participate in the management of the asset while maintaining its broader park operations.
Data Source: Company Filings; Analysis: Kalkine Group
Shanku’s Water Park Asset Profile
The Mehsana asset forms part of Imagicaaworld’s Gujarat catchment, which also includes Aqua Imagicaa Water Park in Surat. The company’s presentation identifies Shanku’s Water Park as part of its Gujarat operating footprint.
The presentation highlights that Shanku’s Water Park has more than 25 acres of land and over 25 rides and attractions. The company has also stated that the park was recently renovated with new rides and attractions, with additional land available for future expansion and attraction additions.
The available surplus land includes approximately 10 acres for future expansion and ride additions.
Gujarat Market Expansion
The investment increases Imagicaaworld’s presence in Gujarat, where the company already operates Aqua Imagicaa Water Park in Surat. During Q1FY27, the Gujarat catchment recorded footfalls of 92,248 compared with 69,879 in Q1FY26, representing a 32% YoY increase. Revenue increased to Rs 844 lakhs from Rs 733 lakhs, while ARPU declined to Rs 915 from Rs 1,049.
The Mehsana investment adds another asset within the Gujarat market while complementing the company’s existing water park presence in the region.
Role of Operations and Maintenance Arrangement
Apart from the ownership stake, Imagicaaworld will also undertake operational responsibilities for Shanku’s Water Park. The O&M arrangement provides the company with a management fee opportunity while applying its operating experience across the park business.
The company’s existing portfolio includes multiple entertainment formats, including theme parks, water parks and other leisure attractions across different regions.
Additional Expansion Initiatives
The Mehsana investment is one part of Imagicaaworld’s broader expansion initiatives. The company is also developing new entertainment formats and projects, including indoor family entertainment centres through Hello Park and the Sabarmati Riverfront entertainment destination in Ahmedabad.
However, the Mehsana transaction differs from these initiatives as it involves an investment in an existing operating water park asset rather than a new-format development.
Conclusion
Imagicaaworld Entertainment’s investment in Mehsana Next Parks Private Limited adds another asset to its Gujarat presence through a 50.002% stake acquisition for Rs 50 crores. The transaction combines ownership participation with an Operations & Maintenance arrangement, providing the company with involvement in an existing water park business. The asset’s land availability, rides and attractions, along with its position within Gujarat, form key aspects of this development.
FAQs
Q: What investment did Imagicaaworld Entertainment make in Shanku’s Water Park?
A: Imagicaaworld Entertainment announced an investment of Rs 50 crores for a 50.002% stake in Mehsana Next Parks Private Limited, which owns and operates Shanku’s Water Park.
Q: Where is Shanku’s Water Park located?
A: Shanku’s Water Park is located in Mehsana, Gujarat.
Q: Will Imagicaaworld manage the operations of Shanku’s Water Park?
A: Yes, the company will undertake Operations & Maintenance activities for the business and earn management fees in the range of 6%-10%.
Q: What are the key features of Shanku’s Water Park?
A: The park has more than 25 acres of land and over 25 rides and attractions, with additional land available for future expansion.
Q: How does this investment relate to Imagicaaworld’s Gujarat presence?
A: The investment adds another asset to the company’s Gujarat catchment, which already includes Aqua Imagicaa Water Park in Surat.