Holidaybreak names potential bidder

The Mumbai-listed firm, which dates back to 1758, is in talks with Holidaybreak’s board after proposing 432.1p a share for the Cheshire-based company, valuing the business at just over £300m.

Holidaybreak disclosed the identity of its potential bidder a day after revealing to the stock market that it had received a takeover approach.

Shares jumped 16 per cent on the back of that statement yesterday and rose another 13 per cent to 413p at the start of business today as the proposed offer price came in well above the City’s minimum expectations of 400p a share.

Holidaybreak’s shares have been under pressure in recent weeks after it warned in May that its adventure holidays arm faced a £1.5 million hit to annual profits due to cancellations and lower bookings caused by the uprisings in the Middle East and North Africa.

Holidaybreak has also been impacted by tougher trading conditions in its Superbreak hotels division but its education arm - the biggest operation and much less exposed to discretionary spending - continues to trade well.

The company’s PGL UK centres will be accommodating around 6,000 schools at sites including Liddington in Wiltshire and Windmill Hill on the Sussex Downs during this year.

Cox & Kings is the world’s longest established travel company and focuses on high-end and tailor-made holidays.