LDC, the private equity arm of Lloyds Bank, plans to pump £18.5 million into holiday park firm Away Resorts after acquiring a majority stake from CBPE Capital for an undisclosed sum.
Away Resorts runs four holiday sites – Whitecliff Bay on the Isle of Wight, Mill Rythe in Hampshire, Tattershall Lakes in Lincolnshire and Barmouth Bay in Snowdonia National Park, offering a mix of holiday lodges, cottages and camping facilities.
LDC chief executive Martin Draper said: "We are investing in a unique and well-operated business and a strong management team that has the capabilities to deliver growth through organic expansion"
The acquisition is subject to regulatory approval.
The Hemel Hemptstead-based business was founded in 2008 by managing director Carl Castledine, finance director Neill Ryder and operations director Greg Lashley.
LDC said it will support the team in delivering their organic growth plan, capitalising on the buoyant market for ‘staycations’ in the UK and providing capital to support further ‘high quality ‘acquisitions.
"The business will significantly invest in its parks, creating additional capacity by developing existing planning permissions and upgrading accommodation, as well as continuing to improve its central facilities, such as swimming pools, gyms, spas, bars and restaurants and water sports," it said.
The deal was led by LDC Investment Directors Richard Whitwell and Ben Snow, who will join the Away Resorts board. Gary Fletcher also joins the business as non-executive Chairman, alongside Mike Smith as non-executive director.
"We are delighted to have successfully completed the deal to support Carl and the team in their next phase of growth, building on Away Resort’s success to date," said Draper
"We are investing in a unique and well-operated business and a strong management team that has the capabilities to deliver growth through organic expansion and further market consolidation, in what is an attractive and fragmented sector.
"LDC has an excellent track record supporting management teams and strong credentials in the leisure sector, and with its financial, operational and strategic support."
