An established tour operator that offers international group holidays to the over 50s traveller market has secured new growth investment, in a deal supported by the corporate finance team at MHA.
Surrey-headquartered Newmarket Holidays, which has grown to become one of the UK's largest, independently owned, specialist escorted tour operators, has secured investment from Soho Square Capital LLP (“Soho Square”).
MHA’s corporate finance team, led by Rob Dawes and Sue Rathmell, provided financial and tax due diligence to Newmarket Holidays on its investment from Soho Square, a company which focuses on financing established and growing UK and European SMEs.
Newmarket Holidays was founded by Jeremy Griffin and Toni Frei in 1983 with Simon Hibbs joining as managing director in 1984. It offers a wide range of group escorted tours, events and cruises. Most of the group’s revenues are now generated via long-haul tours, which has been the fastest growing segment since 2019.
Having joined the business in 2019 with over 25 years of travel industry experience, CEO Niel Alobaidi has driven significant revenue growth and margin expansion and will continue to lead the business.
The Newmarket Holidays team have built a clear and deliverable business plan focused on organic growth, notably an expansion of the number of destination markets replicating the success achieved in established markets.
As part of the investment, Geoff Parkin and Ailsa Pollard will be joining the board of Newmarket as chair and on-executive director respectively. Geoff brings a wealth of travel and consumer sector experience from his prior career as a senior partner at L.E.K Consulting. Ailsa joins following an impressive career within the travel sector, including most recently as CEO of Dnata UK & Europe and she currently sits on the board of ABTA. David Steel from Soho Square will also join the board of Newmarket Holidays.
Niel Alobaidi, CEO of Newmarket Holidays, said:
We were attracted by Soho Square’s flexible approach to structuring investments, providing us with capital and expertise, while enabling us to stay in control of the business that we have put so much work into over the years. Myself, my leadership team and our shareholders are all excited to get to work with our new partners to accelerate our growth plans and continue Newmarket Holidays’ positive trajectory.”
David Steel, Director at Soho Square, commented:
With rapid growth, expanding margins and a very loyal customer base, Newmarket Holidays is going from strength to strength, and we are excited to be joining them on this journey. Supported by a strong and experienced management team, Niel has driven improvements in product, technology, branding and processes."
This has been reflected in the impressive level of customers booking directly with Newmarket both via its new website and from within its loyal customer base. With our support and fresh perspective, we’re confident that we can help Newmarket Holidays to realise new opportunities and deliver considerable growth."
Rob Dawes, partner in the corporate finance team at MHA, added:
“It’s great to see such an established and respected business as Newmarket Holidays securing the new investment it needs to start the next chapter of its incredible journey.
Newmarket already has a strong, capable and experienced management team and they can now continue driving the business forward with even more expertise and resources behind them, helping to make the most of exciting new growth opportunities.”
