1 Min Read
LONDON, Dec 19 (Reuters) - Five banks and a fund have lined up around £750m (US$929m) of debt financing to back Onex's buyout of British holiday park operator Parkdean Resorts, banking sources said.
Private equity firm Onex said it agreed to acquire Parkdean for £1.35bn on December 16.
Bank of America Merrill Lynch, Barclays, JP Morgan, RBC and SMBC have underwitten a £600m senior leveraged loan, which is due to launch for syndication to institutional investors in January, the banking sources said.
Ares is due to provide £150m of subordinated debt.
Total debt will equate to around 6.25 times Parkdean's around £120m Ebitda.
Onex and Ares were not immediately available 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. ($1 = 0.8076 pounds) (Editing by Alasdair Reilly)