Onex lines up $929 mln financing for Parkdean buyout: Reuters

Five banks and a fund have lined up around £750 million (US$929 million) of debt financing to back Onex Corp‘s buyout of British holiday park operator Parkdean Resorts, banking sources said.

Canadian private equity firm Onex said it agreed to acquire‎ Parkdean for £1.35 billion ($2.25 billion) on December 16.

Bank of America Merrill Lynch, Barclays, JP Morgan,‎ RBC and SMBC have underwitten a £600 million senior leveraged loan, which is due to launch for syndication to institutional investors in January, the banking sources said.

Ares is sole provider of a £150 million of second lien loan.

Total debt will equate to around 6‎.25 times Parkdean’s around £120 million EBITDA.

Onex was not immediately available to comment. Ares declined to comment.

‎Headquartered in Hemel Hempstead and Newcastle, Parkdean resorts operates 73 caravan holiday parks across England, Scotland and Wales, selling more than 500,000 holidays and short breaks a year.

By Claire Ruckin (London)

(Editing by Alasdair Reilly)

Photo courtesy of Reuters/Catherine Benson