Bosses buy coach holidays firm Shearings

COACHING tour operator Shearings has changed hands in a deal that sees management buy out long-standing private equity investor 3i.

The value of the transaction for the Wigan-based company which had revenues of £195m last year, was not disclosed.

The buyout team lead by chief executive Denis Wormwell has been supported by its incumbent bank,  Lloyds , which has also renewed its facilities for a further two years.

In 2013 Shearings grewpassenger numbers by 2.6% to a record 1.05m, reflecting strong demand from its core over 50s customer base, generating EBITDA of £5.8m on sales of £195m. It also said that passenger numbers and sales for 2014 were ahead of the previous year, with total bookings up 4% and forward sales for the summer up 2%.
 
Mr Wormwell said: “This is an important milestone for the group, as we continue our growth strategy through building brands targeting third age customers.
 
“Lloyds Bank has been a committed partner of the business for many years. This new transaction demonstrates its continued confidence in the management team, the market and the model.”

Dave Allanson, North West director of Lloyds Bank Commercial Banking added: “Denis and the team have demonstrated to us the resilience of the business, maintaining strong sales and growing profits despite one of the toughest climates the holiday market has seen for many years.
 
“Despite continued pressure on consumer spending, we’re confident that the business will continue to progress further thanks to its loyal customer base, diversified product offering and clear strategy.”