Blackstone Starts Dual-Track IPO, Sale Process for Center Parcs
Blackstone Group LP has started a process to either sell or launch an initial public stock offering for U.K. resort operator Center Parcs, according to people familiar with the matter.
Center Parcs, which buyout firm Blackstone has owned since 2006, could be valued at up to £2.5 billion ($3.75 billion) in an IPO or sale, said some of the people. It could raise as much as £750 million in a potential IPO, they added. The process is still early, cautioned one person, and so valuations could change.
Blackstone decided after Christmas to begin a formal sale and IPO process, said one of the people. Blackstone this week sent requests for proposals to banks to handle the potential IPO process, said people familiar with the matter. Banks are expected to pitch in mid-February, they added.
After buying Center Parcs, Blackstone invested over £100 million to update its hotels, restaurants and stores. Center Parcs has five forest and lake resort locations, each on about 400 acres, in the U.K. It caters to families looking for year-round holiday options, with indoor and outdoor facilities available. They had approximately 1.7 million guests in 2014.