Sunnier prospects for holiday home manufacturer after securing major funding deal
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Holiday homes manufacturer Carnaby Caravans has agreed a significant funding deal as it looks to make the most of the staycation boom.
The Bridlington-based business grew sales by more than 50% to £30m last year and it has ambitious growth plans, fuelled by the increased popularity of holiday homes and short breaks within the UK.
Shawbrook has provided an undisclosed funding package to Carnaby, alongside backing from debt funder Frontier Development Capital (“FDC”) in a deal led by DSW Corporate Finance.
The transaction will see three of Carnaby’s senior staff – sales director Sandra Carter, technical director Mike Swift and finance director Scott Thornton – become shareholders.
Nigel Smailes, chief executive at Carnaby Caravans, said: “Following the successful completion of this transaction and the new appointments to the board, we are eager to further strengthen our presence in our markets as we continue to serve our customers, existing and new.”
Roger Esler, corporate finance director at Dow Schofield Watts in Yorkshire, said: “We have worked with Carnaby Caravans over several years and witnessed both the growth in the business and the strengthening of its brand and reputation with leisure parks and holiday home owners alike.
“We are delighted to have advised on this transaction that brings new funders to the business as well as new appointments to the board at a time of unprecedented activity for the market.”
Carnaby Caravans was introduced to Shawbrook Bank and FDC by corporate finance advisers, Dow Schofield Watts (Roger Esler, Paul Herriott, Matt Spence), who led and structured the transaction on behalf of Nigel Smailes and Tim Meadley.
Legal advice to the shareholders was provided by Clarion Solicitors (Jonathan Simms, Alex Cooper, Marie Pugh). Shawbrook Bank was advised by Shoosmiths (Anna Robson, James Foster).
FDC also supported the transaction and was advised by Squire Patton Boggs. Management was advised by Gordons (Jonathan Asquez). Financial due diligence was provided by RSM. Murray Harcourt (Neil Sengupta) were tax advisers.