Oakwood takeover bid made

Nov 21 2007 by Sion Barry, Western Mail

A TAKEOVER bid for one of Wales’s leading visitor destinations,
Oakwood Theme Park, has been made.

Yesterday it was confirmed that the management of the Pembrokeshire-
based theme park, which this year celebrated 20 years in business, has
received a takeover offer.

Through its Cardiff-based PR company Equinox, owners of the park,
Oakwood Leisure, said for confidentiality reasons it could not reveal
the identity of its suitor.

However, there is speculation that the bid could have come from
Leisure Parcs, which owns various key tourism venues in Blackpool,
including the town’s iconic tower and its Louis Tussaud’s Waxworks.
Following continued major investment in theLouis Tussaud’s Waxworks,
Leisure Parcs this summer experienced a 38% increase in visitor
numbers on the previous year.

In a statement last night Oakwood Leisure said, “An offer has been
made to buy Oakwood Theme Park and is being considered by management.”

However, any bid is unlikely to be significant, with a nominal fee
offered in return for paying off the park’s debts of £7m.

Latest audited accounts lodged with Companies House show that Oakwood
Leisure in the financial year to the end of December 2006, generated
revenues of £5.7m, up on the previous year of £4.8m. It posted pre-tax
losses of £58,221, compared to £582,616 a year earlier.

In May the theme park also learnt that it is being prosecuted by the
Health and Safety Executive. This followed the death of Hayley
Williams who died after falling 100ft from the Hydro ride at Oakwood
in 2004.

Managing director and major shareholder in Oakwood, Paddy McNamara, is
currently out of the country taking part in a rollercoaster conference
in America.

Mr NcNamara bought out his older brother in the family-run businesses
several years ago.

William NcNamara left to pursue another tourism scheme in
Pembrokeshire, with the Bluestone holiday village project.

New owners of the park could provide additional capital to invest in
new rides in an effort to increase visitor numbers.

The highly competitive UK theme park sector requires operators to
continually invest in new rides to provide the next must experience
“thrill factor” for visitors.

Since Oakwood first opened in 1987 it has invested more than £21m in
new rides. Last year it launched its new £3m vertical drop
rollercoaster Speed – the first of its kind in the UK.

The investment, which created 12 jobs, was equivalent to more than
half of its total revenue generation in 2006.

However, more than a third of visitors (36%) ranked it as their
favourite ride within the park.

Last year some 39% of visitors to Oakwood were drawn from outside of
Wales.

Oakwood employs 350 seasonal staff and 45 permanent staff.

Its season this year ran from March to the end of September.