BZW Private Equity Leads Major Holidays Deal

A buyout of Crystal Holidays and Jetsave from Viad Corp of the US has formed the UK’s largest specialist tour operator. BZW Private Equity negotiated, led and financed the deal, which involved total funding of GBP150 million (ecu 222 million).

The businesses acquired include Crystal Holidays, whose chairman and managing director Peter Dyer leads the buyout team, Jetsave, Greyhound International, Tropical Places and American Holidays in Ireland. The new group, called Crystal International Travel Group, will carry some 400,000 passengers a year and have a turnover of GBP200 million. The new owners plan to amalgamate the Crystal Worldwide programme into Tropical Places, while further growth is planned for the other Crystal range of products.

BZW Private Equity director Robert McClatchey commented: “This is certainly an industry which is moving towards consolidation. In its decision to combine its businesses, Crystal is very much in line with industry thinking and we believe it is wise to follow this route which will allow it to compete at the highest level”.

A substantial part of the GBP150 million headline figure comprises the bonding, foreign exchange facilities and guarantees all holiday operators are required to have in place. Details of BZW PE’s investment, which gives it a majority stake, have not been disclosed. Viad has retained a shareholding in the company. Stephen Welton of BZW PE said that, when the time for an exit came, shareholders “would have several options, including a listing or trade sales of all or part of the group”.

BZW PE has backed a number of successful past holiday and travel sector deals, including Eurocamp, SuperBreak, Country Holidays and Viking International (now part of Unijet).