British holiday institution Butlin's could be taken over by the company that owns Asda. Reports say that the supermarket's parent company, TDR Capital, is in talks to buy the holiday parks operator for £600 million.
There are three Butlin's camps still open, in Bognor Regis, Skegness and Minehead, and are owned by Bourne Leisure. But the camps are now up for sale and investment firm TDR has put in a bid this week, Retail Gazette reports.
Another interested bidder is reportedly Fortress Investment Group, reports the Mirror. Billy Butlin set up the company in 1936 with the aim of providing cheap getaways for Brits.
Around one million people go on holiday at a Butlin's every year to this day. At its peak the company had nine camps in the UK.
The camps are known for their famous 'Redcoat' guides that help visitors enjoy their stays. Butlin's was first set up because Billy Butlin felt let down by a gloomy holiday on a guest-house on Barry Island.
Butlin bought land at Skegness, where he opened the first Butlin's - and it is still open today. The Butlin's empire struggled with the introduction of cheap flights and Brits increasingly holidaying overseas.
But it has bounced back, partly aided by people wanting to take a holiday in the UK due to the pandemic. Supermarket chain Asda is jointly owned by TDR and the billionaire Issa brothers Mohsin and Zuber.
The Issas are also interested in buying pharmacy chain Boots after other major bidders dropped out. Boots has around 2,200 stores in the UK, employing more than 50,000 people.
Last month The Mirror reported a takeover could be worth as much as £10 billion. Boots is owned by US-based company Walgreens Boots Alliance, which unveiled a 'strategic review' of the pharmacy chain in January.
Asda declined to comment on the matter. Butlins, TDR and Fortress have also been approached for comment.
