LDC, which is part of Lloyds banking group, has acquired Birmingham’s NEC Group in a £307m deal, making it privately owned for the first time.
The NEC Group includes the National Exhibition Centre, the International Convention Centre and the Barclaycard Arena along with a variety of businesses such as The Ticket Factory, catering company Amadeus and hospitality brand Amplify.
LDC will also take over the council’s interest in developing Genting Resorts World. This leisure and entertainment complex will cost £200m and contain a five star hotel and spa, restaurants, bars, retail outlets and an 11 screen cinema.
Taking care of the work across all business channels within UK and overseas, will be Paul Thandi, the current chief executive of NEC, while LDC chief executive officer Martin Draper and LDC director Steve Aston will be joining the NEC board.
Mr Draper said “The NEC Group is one of the UK’s best known and iconic businesses, particularly so in the Midlands where it is at the heart of the region’s commercial leisure activities.
“The NEC Group has developed significantly over recent years and we’re delighted to be working with such a strong and experienced team to deliver the NEC’s next exciting next exciting phase of development”.
Paul Thandi added “The NEC Group has grown strongly over recent years, allowing us to redefine our position as a leading player in the live event and exhibition space, whilst delivering strong financial results”.
Mr Thandi also said that the management team of the NEC Group are motivated in accelerating their growth strategy.
In the West Midlands, the NEC Group is one of the biggest contributors to the economy, generating £2bn a year.
Elsewhere in Birmingham, M&G has acquired the Royal Angus Multi-Storey Car Park on St Chads Queensway for a reported £9.25 million, with an initial net yield of 6.19%.
The parking facility, which M&G has acquired on a long leasehold, has 650 spaces and is next to the upcoming 12-storey Lumina office development which has recently been granted planning permission. The car park is let to NCP for 22.5 years.
The acquisition of the land is part of M&G’s long-term strategy in Birmingham, which originally began five years ago with the purchase of The Strip, now known as Lumina.
Martin Taylor of Colliers, who acted on behalf of M&G, said: said “This latest deal represents further long term investment by M&G in this location and reinforces Snow Hill’s position as a key location within Birmingham’s expanding central business district.”
Story: Chris Grigorovsky
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