Discovery Parks
Discovering what matters to Australia’s largest holiday park operator
Snapshot
Type of Investment
Turnaround
Industry
Tourism
Initial Investment
December 2008
Fund
Allegro Fund I
Investment Status
Exited
Website
Contact
Adrian Loader
Adrian Whiting
Allegro acquired Discovery Parks in 2008, amid significant financial challenges following the worst tourism downturn since 1998. Allegro implemented a comprehensive transformation strategy to stabilise and grow the business. This involved a major operational overhaul, a shift in strategy from asset accumulation to park management, and a thorough financial restructuring and recapitalisation. These initiatives successfully saved the business from receivership and led to a substantial increase in EBITDA, a significant reduction in net debt, and improved return on capital.
From 2010 to 2014, Allegro partnered with other financial providers to drive growth through strategic M&A, expanding the park network from 24 to approximately 30 locations. This partnership culminated in 2014 with the acquisition of Discovery by ART (formerly Sunsuper) under a pioneering agreement in Australia whereby Allegro would continue to manage the business under an (IMA) structure. This agreement remains in place today.
Under this structure, Discovery's growth accelerated through the acquisition of its largest competitors, establishing it as the premier accommodation provider in regional Australia. Today, as part of the G’Day Group, the business leads the regional Australian travel market with a network that includes 90 Discovery Parks, a broader G’Day Parks network of 330 locations, and a loyalty base of over 230,000 paid members. The strategic acquisition of WikiCamps, a leading camping and caravanning travel app, further solidifies its market position.