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ABN AMRO Capital makes 2.4 times return on Park Resorts22/03/2007. Source: AltAssets. 
 ABN AMRO Capital, the private equity business of Dutch bank ABN AMRO, has sold UK-based caravan park operator Park Resorts Group to private equity firm GI Partners for £440m. Close Brothers Private Equity also sold its stake in the business as part of the transaction. ABN AMRO Capital's investment in Park Resorts has generated a money multiple of 2.4 times with an IRR of 47 per cent, according to a statement. Exchange and completion took place simultaneously.
The Park Resorts management team has co-invested alongside GI Partners.
Park Resorts operates parks in coastal areas across England, Scotland and Wales. The parks offer a range of entertainment and retail facilities, including bars, restaurants, swimming pools, shops and amusement centres.
Park Resorts was created when CBPE purchased 12 coastal caravan parks from Bourne Leisure in May 2001 in partnership with a management team of David Vaughan, Alan Casteldine and Robert Sewell for a total consideration of £46m. Under CBPE ownership, £20m capital was invested into redeveloping the parks, and in addition four further parks were acquired.
ABN AMRO Capital acquired Park Resorts for £165m in December 2004 in order to merge it with GB Holiday Parks, a company that ABN AMRO Capital acquired in November 2004 for £105m. CBPE retained a small stake in the business.
Paul Southwell, managing partner of ABN AMRO Capital's UK buy-out team, said, 'This has been a very successful investment for us. We acquired Park Resorts with the stated intention of merging it with GB Holiday Parks. Following the successful merger, we have created a significant player in the caravanning sector. We have also enhanced the facilities at the parks and created new pitches by investing in capital expenditure of over £35m. It is encouraging to see another very successful realisation from our portfolio and we wish David Vaughan and his team continued success under new ownership.'
Jonathan Bourn and Dominic Collier coordinated the investment and exit on behalf of ABN AMRO Capital and will resign from the board of Park Resorts as a result of the deal.
ABN AMRO Capital has €2.6bn of funds under management. Its main focus is to back MBOs and MBIs of profitable, cash-generative European companies, usually with a value between €30m and 500m.
Park Resorts is the firm's first exit of 2007. To date in 2007, ABN AMRO Capital has completed four European buy-outs (T.G.I. Friday's in the UK, and Baarsma Wine Group, Sdu and Vetus den Ouden in The Netherlands).
GI Partners focuses on control-oriented investments in asset-based cash flowing businesses and properties located in the US and Western Europe. The firm manages approximately $2bn of private equity capital.
The Park Resorts acquisition will form the third major platform investment in Europe in GI Partners' second fund, GI Partners Fund II, which the firm closed on $1.45bn in summer last year.
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