The core of our investment strategy is made up of buyouts and loan-to-own debt investments, in which we have invested £1 billion since 2011.
We have a longer track record of investing in buyouts and co-investments going back many years before 2011. We have also invested, both before and since 2011, in portfolios of secondary investments as well as performing credit assets.
Over the past 40 years we, together with our predecessor firms, have invested in excess of £5 billion in over 200 deals. This track record of investing through numerous economic cycles gives us broad and deep experience across sectors, geographies and business models.
In 2012 Epiris invested £70 million in the acquisition of term debt in holiday parks operator Park Resorts. The debt had a face value of £130 million.
In August 2013, we led the consensual restructuring of Park Resorts' debt facilities, following which funds managed or advised by Epiris became the majority shareholders. The restructuring allowed us to implement our business plan which was based on operational improvement, investment-led growth and market consolidation through M&A.
Between 2013 and 2015, we completed three bolt-on acquisitions, including South Lakeland Parks ("SLP") and Southview and Manor Park holiday parks ("SVMP"). These transactions added a further 12 parks to Park Resorts' portfolio and together with further investment, took Electra's total investment to £132 million.
In November 2015, Park Resorts, SLP and SVMP were merged with Parkdean Holidays in a transaction that gave the enlarged company an enterprise value of £960 million. Epiris received cash proceeds of £95 million, which took total cash received to £109 million or 82% of original investment cost.
Following the merger Epiris received shareholder loan notes in the combined group, named Parkdean Resorts, valued at £196 million and an equity interest of 45% alongside the management team and other shareholders.
Parkdean Resorts is a leading holiday park operator with 73 holiday parks across England, Scotland and Wales, offering a wide range of accommodation, from caravans and camping pitches to chalets, apartments and lodges. The company employs over 5,000 staff during the peak holiday season and is headquartered in Hemel Hempstead and Newcastle.
The Park Resorts Group and Parkdean Holidays were an outstanding strategic fit with highly complementary estates and revenue mixes.
The business had a strong management team and the leading position in a defensive sector that performed well through financial cycles.
Growth was generated by investment in existing park facilities and further acquisitions, as well as sharing of best practices across the group.
In March 2017, Parkdean Resorts was sold to Onex Corporation for £1.35 billion. Funds under the management of Epiris received proceeds of £406 million from the sale. Inclusive of proceeds received previously, this generated a return of 3.9x cost, and an IRR of 45%.