Adventure Travel Lodging Company (Exit Strategy)

Executive Summary

Marketing & Sales

Management Summary

Exit Strategy

There are two possible exit scenarios:

• DPO (Direct Public Offering)
• Buy Out

DPO: If a Direct Public Offering is agreed upon, CTAG will seek new capital to add new properties and cash out investors. Each investor would have the choice of retaining some or all of their ownership. The exact amounts involved would have to be agreed upon at that time.

Buy Out: The buy–out option may present itself even sooner that projected. Currently there is a mass consolidation taking place in the travel/lodging industry. Large hospitality companies like Starwood and Intrawest are acquiring existing properties at an alarming rate. (Starwood has committed to acquiring over 300 properties within the next year.)

Intrawest, dealing mainly in the golf and ski travel industry, has recently closed a deal with CMH (Canadian Mountain Holidays). CMH, the world's largest Heli–Ski outfitter, has sold off 50 percent of its operations to Intrawest for an impressive $40 million. Intrawest also has a stake in resort properties such as Squaw Valley, Mt. Tremblant, Snowbird, etc.

In either scenario, owners of CTAG will be able to cash out handsomely.

Snowfall Lodge, Victoria