Electra Private Equity has acquired Southview and Manor Park, two UK-based holiday parks, from UK-based lower mid-market firm Bluebird Partners and a European bank for £49 million.
The London-listed investment trust has invested £20 million of equity, while the debt was provided by Investec, according to a statement.
The sale will give Bluebird a pro forma return of 2.8x.
Southview is a holiday park in Lincolnshire while Manor Park is based in Norfolk. The parks offer more than 2,000 pitches, a nine-hole golf course and a hotel.
Electra made the investment in partnership with Electra’s existing portfolio company, caravan park operator Park Resorts, in which it invested £45.5 million in term debt facilities from Lloyds Banking Group in 2012. Last July, Electra became Park Resort’s majority owner after it refinanced the company’s existing debt facilities.
Following the investment in Manor Park and Southview Electra has invested more than £100 million in holiday parks in the UK, it said.
“Having completed the refinancing of Park Resorts and the acquisition of South Lakeland Parks last year, this is the latest step in our consolidation of the fragmented and resilient holiday parks sector. This series of transactions demonstrates the flexibility of our investment strategy: what started as a position in Park Resorts’ senior debt is now a controlling equity position in the UK’s largest holiday parks operator,” Alex Fortescue, chief investment partner at Electra Partners, said.
The investment comes just days after PEI reported that Electra Private Equity refused a request from shareholder Edward Bramson for additional board seats and a strategic review.