Equistone sells ATPI to management

MANAGEMENT at corporate travel group ATPI has bought the business from private equity firm Equistone Partners Europe.

The buyout team was backed by London-based Intermediate Capital Group. A syndicate of banks – Lloyds, ING, HSBC, RBS, Investec and Bank of Ireland – refinanced the business as part of the transaction.

ATPI has operations in business travel, corporate event management and online travel technology. It employs more than 1,400 people across 52 offices. An office in  Burnley has 12 staff and 52 are in Manchester including finance director Ian Sinderson and other executives.

Equistone bought a majority stake in ATPI in a £73.5m buyout from LDC in 2008. The balance was held by management. LDC originally acquired the business for £36m in December 2006. The value of the latest deal was not disclosed.

According to the latest filed accounts for the year to December 2011, parent company ATPI Cayman recorded an operating profit of £10m on sales of £78m.

Chief executive Graham Ramsey said: “The sale of ATPI follows a number of other transactions by Equistone in the travel sector, including most recently the €1bn sale of international travel-related payment services firm Global Blue, the acquisition of bespoke travel company Audley Travel and the €200m sale of travel agency Karavel-Promovacances.”

Steve O’Hare, director of Equistone’s Manchester office, said: “It has been a privilege to work with ATPI, helping them to develop the business into one of the fastest growing brands in corporate travel, despite the difficult trading conditions in thetravel sector during this time.

“This exit has generated a good return for our investors in Fund III and leaves the company in great shape for future growth with ICG’s backing. We wish Graham and the team the very best.”

HSBC’s corporate banking team in the North West worked on the deal. Alan Rigby, HSBC’s head of corporate banking in the North West, said: “ATPI is a hugely respected business in the field of international corporate travel and event management, and their fast-growing international network of offices means it needs banking support that can deliver on an international level.

“Providing support for this leading business’s management buyout will enable HSBC to offer international reach and insight, co-ordinated by the Manchester office of our North West- based corporate banking team, as we work with ATPI’s hugely experienced senior management team moving forward.”

ATPI’s shareholders were advised by Andrew Thomas and Chris Wright from the Manchester office of Rothschild.