Holidaybreak sells West End Theatre Bookings

Education and activity travel group Holidaybreak has sold its subsidiary business West End Theatre Bookings for £10.9 million.

Education and activity travel group Holidaybreak has sold its subsidiary business West End Theatre Bookings for £10.9 million.

The London theatre ticket agent, which is part of the hotel breaks division, was sold to multi-channel theatre booking business Encore Tickets.

The deal represents a multiple of 9.7x EBITDA for West End Theatre Bookings’ financial year ended 30 September 2010.

Proceeds from the disposal will be used to reduce the group’s debt, according to a statement.

Martin Davies, chief executive of Holidaybreak, says he believes the transaction offers ‘the best value for our shareholders’.

‘The sale demonstrates our commitment to strengthen the education share of the group as part of our longer term growth strategy to become the leading educational provider in Europe.’

Davies adds that Encore Tickets will provide ‘a good home’ to West End Theatre Bookings, ‘with both businesses strategically focused on providing theatre tickets to the consumer’.

The consideration of £10.9 million was paid in cash upon completion of the sale on a cash and debt free basis.

In November last year, the education division of Holidaybreak acquired a 50 per cent stake in German-based Meininger, a student and school tour accommodation group, for approximately €36.5 million (£30.9 million).

Founded in 2000, Encore Tickets sells in excess of one million theatre tickets annually.