The Leeds office of law firm Shoosmiths advised M3 Capital Partners on the sale of service station operator Extra MSA Group to a consortium of institutional investors.
Extra includes eight Motorway Service Areas (MSAs), two double-sided MSA service stations and a pipeline of three MSA development projects.
Operational sites are Cobham M25, Beaconsfield M40, Leeds Skelton Lake M1, Peterborough A1(M), Cambridge A14 (M11), Baldock A1(M), Blackburn M65, Cullompton M5 and two double-sided MSA service stations at Chesterfield M1 , Winchester M3. Development sites are at Amersham M25, Solihull M42 and Warrington M62.
M3 will retain ownership of London Gateway Services.
Shoosmiths advised on the real estate aspects of the deal for Extra MSA Group. His team was led by Leeds-based property partner Edell Asquez, with support from partner Simon Meek (also based in Leeds) and construction partner Rick Atha. Expert planning advice was also provided by partner David Mathias and general counsel Bob Pritchard.
Asquez said: “Shoosmiths team members have had a relationship with Extra MSA Group for over 20 years. We have supported the group in its development pipeline and portfolio management, with Extra successfully setting a new standard for motorway service areas in Great Britain.
“This agreement is a major milestone in Extra’s growth journey. We look forward to supporting the business as it evolves under new ownership – helping it achieve its future development program and transition to charging electric vehicles and other alternative fuels.”
The consortium behind the deal for Extra MSA Group includes European pension funds and other mid-market infrastructure investors. Its investment will be managed by an independent ad hoc vehicle whose partners include Hamish De Run and Michael Dinham.
During its ownership, M3 has supported significant investment in Extra’s sites, including the development of two major MSAs at Cobham on the M25 (2012) and Leeds Skelton Lake on the M1 (2020), and the assembly of the pipeline of three developments.
The deal is M3’s second transaction in the sector in the last 12 months following the sale in November 2021 of the Ulysse portfolio of eight MSA sites which are operated by Welcome Break under long-term leases.
M3 acquired Extra and the Ulysse wallet in two transactions from the receivers of LBG and RBS in 2010 and 2013.
M3 and Extra were also advised by CBRE, Harris Williams and Mayer Brown. The consortium was advised by Evercore and White & Case.
Financial details of the transaction were not disclosed.