Rank, the UK leisure group, has confirmed the sale of its holiday division to Bourne Leisure, in a buy-out backed by private equity houses Candover and Legal & General Ventures.

The Bourne consortium is buying the businesses for £700m (€1,164bn) in cash. The deal is being supported by a debt package underwritten by Barclays Capital, which comprises a senior bank loan and a mezzanine tranche.