Britain’s greatest vacation parks operator is lining up an American funding agency to offer a whole bunch of thousands and thousands of kilos of funding firepower because it eyes alternatives to consolidate the market.
The funding, which might be offered as debt, has but to be finalised, with sources near Parkdean saying on Friday that different events remained inquisitive about main the deal.
Cash weblog: UK airport ranked worst for fourth yr in a row
Parkdean operates 65 websites throughout the UK, and throughout the summer time peak buying and selling interval employs roughly 8,000 folks.
The corporate has been owned by Canada’s Onex Company since 2016, though there have been persistent questions on how a lot of the £1.35bn buy value it will probably count on to recoup.
Business sources imagine that may be a notably pertinent concern amid rising monetary pressures on British customers.
Onex has additionally ploughed additional funding into Parkdean because the unique deal, notably within the aftermath of the pandemic.
Sources stated that if efficiently concluded, Centerbridge would be a part of Parkdean’s capital construction alongside Ares Administration Company, its current senior lender.
The brand new financing could be used to strengthen Parkdean’s steadiness sheet, and supply headroom to fund progress by upgrading a few of its current parks.
Consolidation of the market by acquisitions, given the fragmented nature of the sector’s possession, can also be stated to be on the corporate’s agenda.
A spokesperson for the corporate stated: “Parkdean Resorts is running a process to strengthen the balance sheet, and to provide firepower for continued growth and sector consolidation.
“We have had file buying and selling over the summer time peak, with 98% occupancy, and progress in each income and [earnings].”
The capital-raising course of is being run by bankers at Rothschild.
Parkdean is run by Steve Richards, the veteran leisure business govt.
Centerbridge declined to remark.
