Property investor Moorfield takes stake in Shearings
COMMERCIAL property fund manager and investor Moorfield Real Estate Funds has taken a minority stake in North West coach tour specialist Shearings.
The two businesses have been linked since 2006 when Moorfield led a sale and leaseback deal for Wigan-based Shearings’ hotels estate.
Under the terms of the latest transaction, Moorfield has invested an undisclosed amount for a significant minority shareholding in Shearings, with the management team retaining the majority following their buyout earlier this year. The business has also enhanced its facilities with Lloyds Bank.
In a statement Shearings said the deal concluded its recapitalisation and ensures it has the right capital structure for its continued growth.
Chief executive Denis Wormwell said: “Moorfield has been an important, long-term supporter of Shearings. Welcoming them on board as an investment partner enables us to align our interests around the continued expansion of the group and ensure we have the best capital structure to deliver our growth strategy.”
Charles Ferguson Davie, chief investment officer of Moorfield Group, said: “We see further potential in Shearings’ model and a clear opportunity to increase market share as consumer confidence recovers in the UK. We’re delighted to be supporting the business through this next phase of growth as a long-term partner.”
Earlier this month, Shearings announced the appointment of Phil White as chairman. Mr White is the former chief executive of National Express and an experienced non-executive currently chairing the boards of car retailer Lookers, student accommodation provider Unite and infrastructure services business Kier Group.
It also announced growth in passenger numbers by 2.6% to a record 1.05m in 2013, reflecting strong demand from its core over 50s customer base, generating sales of £195m and profits (EBITDA) of £5.8m.
