Wed, 17 Apr 2013 | DIVISION SALE
De Vere Group has hired Lazard to assist in the sale of its De Vere Venues arm, with the aim of bringing down its debts of £1.1 billion.
The venues business operates 30 centres, half of which are freeholds or long leaseholds with a total of 3,000 bedrooms, along with four non-residential venues. Seven properties are run as management contracts, joint ventures and franchises. A further 20 are either in the pipeline or under consideration.
With underlying cash generated of £27 million last year, and £28 million anticipated for this year, analysts have estimated a value for the business of between £280 million and £300 million.
Private equity buyers are expected to be interested in the conference aspect of the business. Most of its sales, about 80 per cent, are attributed to its large corporate clients, which are on long-term sole occupancy contracts and, to a lesser extent, weekend, short stays and weddings-related.
Following a successful disposal of De Vere Venues, a sale process for The Grand in Brighton will commence in early 2014. It will be on the market for £50 million.
De Vere Group is part-owned by Lloyds Banking Group after it took control through a £650 million debt-for-equity swap in 2010.
____________________________________________________________________________
Related articles:
De Vere Group to sell off its conference centres business
De Vere Group to sell hotels
Having established numerous trademarks, Project Clover offers a broad array of internal and external home décor and associated products, such as outdoor furniture and heating; indoor and outdoor lighting; electrical fireplaces and heaters; storage an...
The company specialises in thermal insulation and trace heating solutions, installing and maintaining a wide array of insulation types, fire protection and weatherproof coverings. The business effectively works on many properties, including retail ou...
The group offers a comprehensive range of renewable energy solutions, including solar and electrical design, technical surveys, and installation services for various sectors. As an approved Lux Power installer, the business uses the latest technology...
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.