Lee, the executive chairman of Malaysian-listed Mulpha International, used his Hong Kong-listed Sun Hung Kai & Co Limited to buy shares in Ardent Leisure, The Australian reported.
According to the report, Ardent shares leapt by 7.14% to A$2.025 in early morning trade. Investors are speculating that the deep-pocketed Malaysian billionaire could work with other investors to overhaul the theme park owner.
Ardent shares crashed to A$1.91 in late June after the company revealed its earnings would fall below expectations.
Last week a scandal erupted in Australia over a swindling racket allegedly run by Australia’s largest listed retirement village operator, Aveo, in which Lee reportedly holds a 22.6% stake.
The Sydney Morning Herald reported that a joint Fairfax Media-Four Corners investigation had uncovered a “litany of questionable business practices” at Aveo including churning of residents, fee gouging, safety issues and misleading marketing promises “made to some of the country’s most vulnerable people”.
Lee denied that Aveo was exploiting residents at its 89 retirement villages in Australia. He said: “”To take a few complaint cases and blow it out of proportion makes a great story but unfortunately, it is very unfair to our dedicated team that is doing the best it can in offering the highest levels of care to the Aveo residents.”
According to the Ardent Leisure Group website, it is a specialist operator of leisure and entertainment assets across Australia, New Zealand and the United States.
The Group owns and operates Dreamworld, WhiteWater World, SkyPoint, SkyPoint Climb, d’Albora Marinas, Hypoxi Body Contouring, Goodlife health clubs, AMF and Kingpin bowling centres across Australia and New Zealand.
The Australian reported that the company was struggling to recover from a tragedy at the park last year in which four people died.
Theme park visits were down nearly 36% in May compared with the previous corresponding period, while revenues were down nearly A$4 million, said the report.
Lee’s chief lieutenant in Australia is former Ardent boss Greg Shaw, who led the company for 13 years before being dumped by the board in early 2015.
Shaw, according to the report, was replaced by former magazine editor Deborah Thomas, prompting a share market rout. He then joined Lee, to helm Mulpha’s Australian property and hotels arm.
Last month, Dreamworks was rocked by the sudden exit of Thomas.
The Australian report said with Shaw at his side, Lee was likely to agitate for significant changes at the group.