Ryman Hospitality Engages Morgan Stanley to Explore 70% Opry Entertainment Stake Sale
RHP•Ryman Hospitality Properties has engaged Morgan Stanley to explore strategic partnerships or potential divestiture options for its 70% stake in Opry Entertainment Group, which owns the Grand Ole Opry and Ryman Auditorium. The company emphasized no agreements are in place and reaffirmed its commitment to OEG’s long-term growth.
1. Exploration of Strategic Partnerships
Ryman Hospitality Properties has received inbound interest from various organizations seeking to partner with its Opry Entertainment Group unit, driven by the global popularity of country music and growing demand for live experiences. The company views enabling OEG to operate outside its REIT structure as key to unlocking long-term growth opportunities.
2. Engagement of Morgan Stanley
The company has retained Morgan Stanley & Co. LLC to assist in evaluating potential strategic partnership or divestiture transactions for its approximate 70% controlling interest in OEG. While discussions are underway, Ryman emphasized that no definitive agreements have been signed and there is no guarantee a transaction will occur.
3. OEG’s Iconic Assets and Market Position
Opry Entertainment Group owns and manages iconic country music brands including the Grand Ole Opry, Ryman Auditorium, WSM 650 AM radio, and venues like Ascend Amphitheater, while also operating Ole Red restaurants, Category 10 locations and festival promoter Southern Entertainment. Its integration within Ryman’s taxable REIT subsidiary provides consolidated financial results, underpinning a portfolio of 12,364 hotel rooms and over 3 million square feet of meeting space.
