Legoland owner to develop $90 million KidZania Singapore themepark

Legoland owner to develop KidZania Singapore

Sunday, September 8, 2013 – 09:30

Jasmine Ng

The Business Times

SINGAPORE – Malaysia’s Themed Attractions and Resorts – owner of Legoland and Sanrio Hello Kitty Town in the country – is launching its first overseas theme park, KidZania Singapore, to tap rising travel demand in the region. It has partnered Maybank, Discovery Networks Asia-Pacific, Yakult, Canon and The Soup Spoon to set up five establishments in KidZania – an indoor theme park where children can pretend to be surgeons, pilots, runway models, journalists, chefs, firemen and many other professions.“This is our first overseas venture. It will probably be the only one for some time,” managing director Tunku Ahmad Burhanuddin told BT in an interview. The company, a subsidiary of Malaysia’s state investment company Khazanah Nasional, owns the KidZania franchise in Kuala Lumpur.

Expanding into Singapore is a “logical choice” given the cooperation between the two countries in Iskandar Malaysia, as well as Singapore’s central location in ASEAN, making it a tourism hub.

Unlike other theme parks, KidZania will not have any rides. Instead, it will partner companies in different industries to create miniature cities where children “work” in some 60 “pretend” businesses, from hospitals to fire stations and bottling plants to courier services. The $90 million Singapore theme park franchise will span 7,600 square metres at Palawan Beach on Sentosa.

Two-thirds of the visitors are expected to be Singaporeans, one-third foreigners.

Themed Attractions plans to secure 30 more partners from a mix of local and international brands before the park’s opening in early 2015. There can be only one partner representing each industry. “Industry partners are a cornerstone of KidZania. They bring a sense of realism and local flavour to the theme park,” Mr Burhanuddin said.

KidZania has a presence in about 13 markets globally. Each KidZania location offers experiences customised to a particular region and culture in food, entertainment and professions.

Mr Burhanuddin is not concerned about the potential rivalry between Singapore and KL as each theme park targets visitors from the respective markets by teaming up with local partners.

For instance, Singapore will feature local brands like The Soup Spoon and traditional coffeehouse Killiney. Malaysia’s partners include AirAsia and fast- food chain Marrybrown.

“We actually see (the two parks) as complementary . . . The more attractions we have in this area, the better – because there will be a lot more people coming into this region. We complement and supplement each other in one way or another,” he said.

South-east Asia is becoming home to a growing number of major theme parks as the region’s wealth and leisure time grow. Last year alone, Themed Attractions opened four theme parks.

Legoland Malaysia was the most successful launch of the six Legoland parks dotted across the world, with more than one million visitors in the first month.

The amusement park will add a series of new attractions this year amid rising competition in Asia. Planned additions include a hotel and the world’s largest Legoland waterpark spanning over three million square feet, Mr Burhanuddin said.

Unknown's avatarAbout bambooinnovator
Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

Leave a comment