Brookfield has abandoned its attempt to sell holiday resort chain Center Parcs after failing to secure a deal at the £4 billion sale price, the Financial Times reported.
The investment firm launched the sale in May and received early interest at about the £4 billion level. However, it failed to secure any formal bids ahead of a July deadline. In August, it tried to put together a consortium made up of GIC, Antin Infrastructure Partners and KSL Capital Partners but that didn’t lead to a formal offer.
In September, Sky News revealed that Brookfield was in talks with some of its own fund investors regarding the sale of a stake in the holiday resorts but it seems that also bore no fruit.
Moving forward, Brookfield is still considering offloading a minority stake or recapitalising Center Parcs, but could also opt to hold the resort group for several more years, the Financial Times reported.
Why it matters
The hefty price tag at a time of higher interest rates and inflation no doubt led to failure of a deal materialising, and this outcome points to the difficulty of completing large deals in the current market.