Pathfinder Signs LOI to Acquire Large Alberta RV Park with Expansion Potential
VANCOUVER, BC / ACCESSWIRE / June 11, 2024 / Pathfinder Ventures Inc. (TSXV:RV) (“Pathfinder” or the “Company”) is pleased to announce that it has signed a Letter of Intent (LOI) to acquire an RV Resort in Alberta with more than 200 RV sites.
Pathfinder is excited to announce the signing of a Letter of Intent (LOI) for the acquisition of an RV park near a major metropolitan area in Alberta at a purchase price of $10 million. This park is estimated to generate over $1 million in net operating income (NOI) annually. It boasts expansive land, totaling over 48 acres, and features 187 Year-round sites and 28 Seasonal sites. Furthermore, it offers ample expansion opportunities, with over 166 potential additional sites, bringing the total at this location to potentially 400 RV sites. Pathfinder currently has 316 RV sites within its existing portfolio.
Situated near Alberta’s economic hubs, this primarily year-round RV resort presents promising cash flows and returns underpinned by robust fundamentals. Positioned strategically in an attractive region with a strong demand for RV/camping and workforce housing, the park is positioned for continued success.
Pathfinder plans to finance the acquisition through a combination of financial instruments: $1 million in cash, a $6.5 million first mortgage debt, and a $2.5 million Vendor Take Back (VTB) arrangement. This strategic financing structure aims to optimize the financial efficiency of the acquisition.
The completion of the acquisition is subject to further due diligence, along with third-party and regulatory approvals. The company expects the transaction to close in October 2024.
Forward-looking Outlook and M&A Pipeline
Pathfinder remains steadfast in its pursuit of growth opportunities within the RV resort industry, buoyed by a robust M&A pipeline and the prospect of declining interest rates, which are anticipated to spur increased activity and expansion in 2024.
Management Commentary
Management remains optimistic about the future of the RV industry, particularly in light of anticipated interest rate declines. Pathfinder is well-positioned to capitalize on emerging opportunities, leveraging its expertise, strategic partnerships, and innovative solutions to deliver exceptional value to stakeholders.
About Pathfinder Ventures Inc. (TSXV:RV):
Pathfinder Ventures Inc. is a leading provider of premium RV camping experiences, committed to delivering exceptional hospitality and modern amenities to outdoor enthusiasts. With a portfolio of strategically located resorts, Pathfinder offers unparalleled opportunities for memorable RV vacations.
To learn more about Pathfinder Camp Resorts, click the link below:
www.PathfinderCampResorts.com
On behalf of the board of directors of the Corporation:
Joe Bleackley
Chief Executive Officer, Founder and Director
Pathfinder Ventures Inc.
Company Contact:
Joe Bleackley
Chief Executive Officer, and Director
Phone: (604) 914 2575
Email: ir@PathfinderVentures.ca
Website: PathfinderVentures.ca || PathfinderCampResorts.com
