Caledonia Investment Buys Park Holidays UK

December 18, 2013 Updated: April 24, 2016

Caledonia has acquired UK Holiday park operator Park Holidays UK, which owns and operates 21 freehold and two leasehold caravan parks in the south of England.

Park Holidays is valued at 172 million euros, which has been funded for 88 million of equity from Caledonia, and 90 million from bank debt, provided by Royal Bank of Scotland, HSBC, Lloyds Bank, Barclays, and Santander. Additionally, a 10 million euro acquisition and capital expenditure facility has been arranged to assist in the future expansion of the business.

Caledonia’s head of unquoted investments, Duncan Johnson has said that the company is delighted by supporting Park Holiday’s team in the next stage of the park’s development. The new structure will help ensure that the fun-loving company can continue to enhance its park for patrons and visitors around England, as well as allow Jeff Sills and his team to continue expanding the businesses through the many targeted acquisitions.

Will Wyatt, chief executive of Caledonia is also excited about the acquisition and team planning. The company’s unquoted strategy to invest in leading businesses in the industry will help combine ability to growth profits and a capability to pay a healthy annual cash return to those company shareholders.

Park Holiday’s business model is one of the largest and leading in its business sector, so the acquisition fits criteria for the unquoted strategy well. Wyatt said “Our investment is further proof of the attraction of Caledonia’s unique investment model to a wide number of management teams and businesses.” Hopefully, Wyatt and Johnson agreed, The investment will be a welcomed addition and will assist in driving long-term capital to our shareholders.

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