It is understood that private equity company Equistone Partners has purchased a stake in Travel Counsellors for an undisclosed sum.
In a joint statement, the two companies said “the investment from Equistone’s fourth fund provides the company with a platform to build on its recent growth and secure its position as one of the UK’s leading leisure businesses.
“It will also enable Travel Counsellors to increase the support it offers to its global family of agents, as well as bolstering its global buying power and potential for further overseas expansion.”
Travel Counsellors will continue to be led by managing director Steve Byrne, who has been with the firm for ten years.
David Speakman (pictured above) will remain in his role as chairman. As part of the deal, Equistone partner Steve O’Hare will join the board of the company as a non-executive director.
Steve Byrne, managing director of Travel Counsellors, said the company hoped to use the investment and partnership with Equistone “to take the company to yet another level and accelerate our growth”.
“[This will] enable us to capitalise on the many opportunities we have to expand the business further in both leisure and corporate sectors.” he added. “This expansion will further bolster our global buying power and strengthen our position as the market leading travel company for personal service, to the benefit of our agents globally.”
David Speakman, Travel Counsellors chairman added: “It has always been my intention to ensure the long term interests of the company and make Travel Counsellors even stronger for the benefit of each individual agent and their customers.
“We have partnered with Equistone as they buy into our proven business model, culture and ethos, and we look forward to an extremely promising future as a global travel company that puts its customers first.”
"Impressive growth"
Partner at Equistone Partners Europe Steve O’Hare said: “Travel Counsellors has shown impressive long term year-on-year growth under the current management team.
“The additional funding will be used to develop its support to its agents and market leading software, which is crucial to ensure high levels of service to its growing customer base. We look forward to working with the team and are excited about their plans to expand the business in new and existing territories.”
Earlier this year Travel Counsellors saw group-wide turnover hit £115 million with pre-tax profits up 41% to £5.4 million.
Speakman started the company in 1994. It saw 60% growth over the last five years, and now boasts a network of 1,300 consultants worldwide, operating in eight countries. It has forecast global sales of £434 million for the year ending October 31 2014.
Equistone, which was formerly part of Barclays before being sold to its management team, also owns a stake in Audley Travel, purchased in 2012.
