A North Wales-based outdoor adventure specialist is planning to expand across the UK and beyond after receiving backing from private equity investor LDC, supported by the company’s existing banking partner, HSBC.
Zip World, which runs three adventure experiences in Snowdonia, including what is thought to be the world’s fastest zip wire, is aiming to double in size over the next three years.
LDC’s investment will support Zip World’s ongoing growth strategy as it looks to add new attractions to its current sites and rollout its adventure experiences across the UK and beyond. The deal, which values Zip World at £45m, was also supported by Zip World’s existing bank backer HSBC.
A 2018 study by North Wales Tourism calculated that Zip World had directly contributed £251m to the local economy over the last five years.
The transaction was led by head of LDC in Cardiff, Dewi Hughes, with strong support from Alistair Pendleton, Simon Hemley and James Garland. Hughes and Pendleton will both join the board as non-executive directors.
Sean Taylor, director and co-founder of Zip World, said: “Having built an exciting brand in the adventure tourism sector, we are focused on scaling up and will be looking to acquire additional sites as part of our ongoing expansion strategy.
“We are incredibly confident in the future of the adventure tourism industry and have ambitions to deliver Zip World’s iconic experiences to more customers and create more unique new attractions. LDC shares our enthusiasm and vision and we now have the additional capital and expertise needed to fire up our growth plans in Wales and beyond.”
Dewi Hughes, investment director and head of LDC in Cardiff, said: “We have had a longstanding relationship with Sean and Zip World team, and we’ve seen the business grow to become one of Wales’ biggest and most loved leisure brands over the last few years.
“Zip World is exactly the type of business we look to support. It’s a proven model being driven by a strong management team with a clear ambition for the future. We’re looking forward to getting off to a flying start.”
LDC was advised by Geldards and EY (tax), with Pragma, Ellis Whittam, FB Systems, Prelude, 3Sixty and JLT providing specialist due diligence support.
