Forecourt retailer Applegreen has invested €361.8 million in the purchase of a majority holding in Welcome Break, a British motorway service group which also operates a portfolio of 29 hotels across the UK consisting of 22 Days Inn venues and seven Ramada hotels.
Applegreen said that it has entered into agreement with NIBC European Infrastructure Fund to acquire its entire 55.02% holding in Welcome Break.
The Ireland-based forecourt operator has also entered into a separate agreement with Welcome Break Investors II LP, a limited partnership that holds the remaining 45% of the company.
Through these agreements, Applegreen says that it will be able to obtain "greater operational influence over Welcome Break".
Commenting on the acquisition, Applegreen CEO Bob Etchingham said, "Welcome Break is a fantastic business, it has led the way in providing the very best food and beverage facilities on the UK motorways."
Meanwhile, NIBC Infrastructure Partners and Welcome Break Group chairman Darren Kyte stated, "This is a transformational transaction in the UK MSA sector, and I am sure that the combination of the Applegreen Service Area operations in the UK with those of Welcome Break, and combined management capabilities will help build further upon the consistent and strong earnings growth seen by both businesses over the past decade."
© 2018 Hospitality Ireland – your source for the latest industry news. Article by Dave Simpson. Click subscribe to sign up for the Hospitality Ireland print edition.