Royal Bank Private Equity has confounded the views of many UK private equity practitioners by leading its first big buy-out in 14 months. Cannons' £203m (€323m) bid for rival health club Holmes Place was recommended to shareholders earlier this month.

The buy-out unit, which is now part of Royal Bank of Scotland's Equity Finance Group led by Rory Cullinan, has not led and completed a deal worth more than £50m since acquiring Britax in July 2001. This gave rise to the belief that the bank was withdrawing from leading large buy-outs altogether, particularly in the light of other changes there.