EUROPEAN CAMPING GROUP (ECG), the European leader in outdoor accommodation holidays, announced today having successfully raised the GBP equivalent of €50 million via a bullet loan from its banking and institutional lenders syndicate, in order to accelerate its development and strengthen its financial flexibility in a fast-consolidating sector. The structured loan now amounts to €365 million, having initially issued €315 million in July 2017 from the same partners. The success of the transaction (3 times oversubscribed), demonstrating once again the investors’ confidence in the group’s strategy and development plan, and led ECG to increase the size of the transaction, which was initially planned for €40 million, under the same conditions.
At the same time, ECG secured €40 million in lease commitments, to fund in particular the acquisition of nearly 1,500 new mobile homes for the 2019 season.
These resources strengthen the Group in its leadership position as #1 European player for mobile home holidays, on the back of a strong 2018 performance, generating revenues close to €300 million, i.e. 30% increase compared to fiscal year 2017. These preliminary results (to be confirmed in December) do not include the pro-forma impact of planned acquisitions, to be reflected in fiscal year 2019.
Philippe de TRÉMIOLLES, General Manager – Finance of ECG, comments: “The support of our banking and financial partners validates the attractivity and profitability of our business model, already confirmed by Ontario Teachers’ Pension Plan minority stake’s purchase in our company in June 2018, alongside Carlyle, Montefiore Investment and Management.”
Alain CALMÉ, Chairman of ECG, added: “These additional resources will be used to accelerate the implementation of our business plan through targeted, value-creating acquisitions, in line with our demonstrated integration capabilities. It will also allow us to consolidate our position as the European leader.”
