Planet Hollywood Getting Infusion of Green

ORLANDO-Magnetic Light Profits Inc. is bringing a glow to Planet Hollywood International Inc.’s struggling financial efforts. The British Virgin Island-based company is putting $2 million into the locally-based, 29-unit theme restaurant chain. The infusion raises Magnetic’s ownership stake to 14.3%.

Magnetic purchased 627,000 class A shares of Planet Hollywood, according to U.S. Securities and Exchange filings. The investment firm previously bought 930,000 shares of class B stock. The class B stock gives Magnetic voting rights and may be converted to class A shares which trade over the counter.

Planet Hollywood is trading around $3.12 per share. The company’s old stock was cancelled. The new stock has been trading since May of this year in a range from $2 to $4.

Magnetic is owned by Star East Holdings Ltd. of Hong Kong. Star East’s celebrity-themed restaurant operations coincide with Planet Hollywood’s marketing strategies. Star East has said it is considering buying a majority share of Planet Hollywood Asia, a franchise that was previously run by Leisure Ventures Ltd. Singapore billionaire Ong Beng Seng owns Leisure Ventures.

In New York, Planet Hollywood has closed its Official All Star Café restaurant at Times Square and plans to convert the property to a conventional Planet Hollywood restaurant.

Planet Hollywood International Inc. is controlled by Orlando restaurateur Robert Earl, the company’s founder, and Kingdom Planet Hollywood Ltd. of Saudi Arabia, a longtime financial backer.