CBGC, the leading mid-market provider of combined debt and equity funding, announces today that it has provided financing of £6.2 million for the Management Buy-in of Chilworth Manor Ltd ("Chilworth" or "the Company"), a 95-bedroom conference facility, from Southampton University.
About Chilworth Manor Ltd
Chilworth Manor, based in Southampton, predominantly serves the conference and weekend wedding market and the new management team is planning to expand the hotel and conference businesses and develop a new 5000 square foot leisure facility. The facility currently provides 95 bedrooms, 10 meeting rooms, 2 conference suites, an extensive restaurant and bar area, 12 acres of parkland and landscaped gardens, and car parking for over 200 cars.
Financing
The transaction is financed exclusively by way of a £6.2 million hybrid debt-equity funding package from CBGC. The management are also providing equity.
Management Team
The highly experienced team has worked together since 1994 at Andrew Weir Hotels Ltd, a 3 and 4-star hotel group, and has a proven track record in this industry. Prior to Andrew Weir, between them they held senior positions for such companies as Grand Metropolitan, Thistle Hotels, Accor and Forte. Close Brothers has known the team since an earlier MBO attempt in 2000.
Garrett Curran of CBGC commented on the transaction:
"This is a perfect investment opportunity for us with exciting opportunities for growth, and is typical of the mid-cap transaction size we specialise in. We are delighted to have the opportunity to back this strong management team. This deal demonstrates that management teams are attracted to innovative forms of financing that give them control of the business going forward."
Peter Bondi, Managing Director, said,
"We are very pleased with Close Brother's ability to provide a financing facility that so accurately meets our requirements. We appreciated the efficiency with which CBGC delivered the financing, enabling us to complete the MBI within the vendor's tight deadline.
Close Brothers Growth Capital have provided us with an innovative tailor-made financing solution, which will enable us to meet the growing market opportunity in this area."
Enquiries:
Garrett Curran CBGC Tel: 020 7426 4000
Fergus Wylie Cubitt Consulting Tel: 020 7367 5100
Caroline Villiers
