VUOKATTI, Finland (December 28, 2012) — Holiday Club Resorts Oy, renowned for its timeshare business and spa hotels, had good results at the end of the fiscal year, September 2012. In order to ensure its steady growth, Holiday Club strengthened its capital structure and offered a share issue to institutional investors. 5 million Euros equity was raised. Additionally, a convertible note of 4 million Euros was issued.
Strengthening capital structure
Holiday Club has a strong and solid owner base. Pension Funds Ilmarinen (4m€) and Varma (0,5m€) and Suomen Teollisuussijoitus Oy (0,5m€) contributed to the share issue. Ilmarinen contributed as a new owner and Varma as well as Finnish Industry Investment Ltd as existing owners. Besides them, the owners include Fennia Group, private investors and the management of the company. The convertible note was contributed by 11 institutional investors, consisting mainly of trade unions and foundations.
The growth figures of Holiday Club are significant: turnover increased from 93 million to over 121 million euros. The EBIT was 8,7 million euros. Also the amount of employees increased. At the end of the fiscal year, the company employed 775 people.
A lot of work was invested in order to attain this growth. Holiday Club Saimaa – the largest spa hotel and holiday resort in the Nordic Countries – was opened in 2012 and received great acclaim. It already served thousands of customers from Finland and abroad. The development of this resort continues. New holiday houses are built in the area. The 18-hole golf course and Capri shopping center will be completed in summer 2013. The main attraction of Capri will definitely be the Angry Birds Activity Park.
New travel product: Angry Birds Activity Parks
In addition to its holiday homes and spas, Holiday Club aims to expand its leisure facilities. Subsequently, a new travel concept was developed that will attract both Finnish and foreign tourists. Holiday Club is constructing Angry Birds Activity Parks in conjunction with three of its spa hotels. The first Angry Birds Activity Park will open in Kuusamon Tropiikki for Christmas 2012. The Angry Birds Activity Park in Saariselkä will open for winter holidays in February 2013 and the one in Saimaa will open in summer 2013. Like this, spa hotel, activity park, restaurants and multiple activities will be offered at the same holiday destination. The total value of the Angry Birds investment is approximately 5 million euros. Additionally, Holiday Club is the main partner in developing the Angry Birds Activity Park Vuokatti, opening on the 14th of December 2012.
The Villas success story
Alongside timeshare, a new product was developed: Holiday Club Villas apartments, which are sold as whole ownership. The Villas apartments built in Saimaa, Kuusamo and Katinkulta in particular, have been sold in record time. The 92 Villas apartments in Katinkulta were completed in August and all were sold by autumn. More Villas apartments are being built at these three holiday resorts.
Besides the new investments, Holiday Club concentrated on developing its existing resorts. The timeshare business of the five resorts in Gran Canaria was initiated effectively and after the first full fiscal year the results are promising. Holiday Club Puerto Calma was substantially renovated. Furthermore, Holiday Club is constructing 56 luxurious timeshare apartments next to Lopesan’s Villa del Conde hotel at Meloneras beach in Playa del Inglés. This project is executed together with the Lopesan Group – the leading luxury hotel establishment of the Canary Islands.
Holiday Club Resorts Oy is the leading weekly timeshare company in Europe and a significant operator in the fields of holiday housing and tourism. The company is owned by the acting management, Varma, Suomen Teollisuussijoitys Oy, Fennia Group, Ilmarinen and a group of Finnish private investors. Holiday Club Resorts Oy has 32 resorts and 1,300 holiday homes. Seven of the resorts feature not only holiday homes but also a spa hotel. Eight resorts are located outside Finland, in Sweden, on the Costa del Sol in Spain and in the Canary Islands. During the financial year 2011–2012, the group recorded a turnover of €121 million and employed 776 people. For more information, visit www.holidayclubresorts.com