HELSINKI, Finland (July 3, 2015) — The cooperation between Holiday Club Resorts Oy, Finland and Mahindra Holidays & Resorts India Limited started approximately one year ago when Mahindra Holidays acquired a 23,3 % stake in Holiday Club Resorts. Today, Mahindra Holidays, part of the multinational Mahindra Group, decided to execute the option to increase its stake in Holiday Club to 88 %. With this acquisition, the entity Mahindra Holidays – Holiday Club becomes the world’s largest vacation ownership company based outside the United States.
The total investment is estimated at 28 million Euros. The remaining of shares will be held by the Finnish Fennia Group and the management of Holiday Club. The transaction is expected to be concluded in a two- to three-month timeframe, subject to regulatory approvals.
In addition to the above investments Mahindra Holidays may invest a further 10 million Euros in Holiday Club in the form of equity/loan, or in any other manner, to finance the growth of the company in the near future.
Vesa Tengman, CEO Holiday Club Resorts Oy, Finland said: “I am extremely pleased that Mahindra Holidays has decided to exercise the option to increase its ownership in Holiday Club. For the past 30 years, the major shareholders of Holiday Club have been mostly private equity investors. We are thrilled to have an industrial player involved. I believe that uniting the two local market leaders will not only provide significant business opportunities in Europe and other international markets, but also offer our existing member base an even more versatile destination portfolio.”