The De Vere Group has today said it is to put its venues division on the market after voluntarily receiving interested from outside parties.
With 38 sites and 3,000 bedrooms in the venues division, the company accommodates for around 700,000 conference meeting delegates per year making it one of the UK’s largest training venues. The properties, which include Heythrop Park in Oxfordshire and Horsely Park in Surrey, are a mix of freehold and leasehold properties, some of which are run on a managed or franchised basis. It is thought the sale of the company could raise up to £300m which will reduce the De Vere Group’s £1.1m debt.
The group says De Vere Venues is expected to deliver of £28m this year and has exciting prospects for future growth underpinned by long-term blue chip customer relationships, a number of which are reinforced by multi-year, guaranteed-spend contracts.
The group says it is not under any pressure to undertake a disposal and will only conclude a transaction which is in the best interests of all stakeholders.
Andrew Coppel, chairman of the group confirmed this morning that the company has agreed that following the disposal of several major hotel portfolios – including Malmaison/Hotel du Vin and Princiapal Hayley, now is a good time to realise the premium value of its training business.
De Vere Venues was formerly known as Initial Style Conferences before being acquired by Richard Balfour-Lynn in 2005, who then went on to take over the De Vere hotel group. Initial was then renamed as De Vere Venues.
Last year, the De Vere Group announced that it was establishing a golf course division and merging the operation of its hotels and Village Urban Resorts brands, under chief executive Robert Cook.
Coppel was appointed Chairman by the Lloyd Banking Group following a £650m debt-for-equity swap three years ago. Balfour-Lynn then left the group last year.