Buy and build strategy for group
Verdant acquires two leisure parks in England
The acquisition of Kingfisher and Heather View holiday parks in the Wear Valley brings the boutique leisure park operator’s portfolio to six sites across southern Scotland and North East England.
The acquisition supports the board’s growth strategy to create a regional group with significant scale and is the firm’s first purchase since Palatine Private Equity backed a secondary buyout of Verdant Leisure from RJD Partners in April this year.
Set in 23 acres on the banks of the River Wear close to the village of Frosterley, Kingfisher is a 177 pitch five star leisure park. Also in the Wear Valley, at Stanhope, Heather View is a 21.3 acre park with 282 pitches.
Verdant Leisure was formed in September 2010 following a management buy-in of Dunham Leisure, owner of Pease Bay and Thurston Manor leisure parks in South East Scotland, by a team that included Graham Hodgson as chief executive, Andrew Wall as finance director and Bev Dixon as operations director. Ronnie Peters has since joined the board as sales director.
The company acquired Viewfield Manor Leisure Park in Ayrshire in July 2011 and Riverside Leisure Park in Northumberland in 2012. The latest investment brings the total number of pitches of privately owned lodges and holiday homes, holiday lettings and touring facilities to over 2,500.
Ed Fazakerley, partner at Palatine Private Equity, said: “Verdant Leisure has become a major player in the Northern regions, and has expanded further through this acquisition. We saw significant buy and build potential in the business when we decided to invest, and these acquisitions are just the first in a series as we look to build on Verdant’s portfolio of holiday parks.”
Debt facilities were provided by Tosca Debt Capital and Yorkshire Bank.
Gary Davison, partner at Tosca Debt Capital, said: “As part of the original acquisition of Verdant Leisure Parks, Palatine invested in a high quality platform and a well-proven, experienced management team. These acquisitions are the first implementation of the buy-and-build strategy and demonstrate the group’s commitment to finding and acquiring high quality assets.”
Owen Malton, regional head of specialist and acquisition finance at Yorkshire Bank, said: “The forward-looking management team at Verdant Leisure is delivering on its growth strategy to acquire attractive holiday parks in key destinations.”
Verdant Leisure was advised by KPMG (financial due diligence) and Osborne Clarke (legal advice).