LONDON (Alliance News) - HML Holdings PLC Wednesday said it has acquired the block property management business of chartered surveyors Philip R Gibbs, based in Bolton, Lancashire, in a deal worth up to GBP300,000.
HML, which provides property management, insurance and ancillary services to residential property blocks, said it will use its working capital to make the acquisition, with GBP240,000 payable on completion and GBP60,000 deferred over one year, subject to client retention and performance conditions.
"The PRG portfolio is an excellent fit for our expanding operations in the North West. Earlier this year, the group purchased the property management business of The Guthrie Partnership (now HML Guthrie) in Knutsford, Cheshire which has successfully grown under HML ownership. We are optimistic about our opportunities to expand further given the synergies arising from the 5,500 units we now manage in the area," Rob Plumb, chief executive, said in a statement.
The business acquired manages over 1,500 units in and around the Greater Manchester area. For the year ended March 31, the block portfolio produced annual revenues of approximately GBP220,000 and is expected to be immediately earnings enhancing for HML.
PRG is a firm of chartered surveyors which also undertakes lettings management and professional services to the property investment community, though HML said it will not be acquiring those divisions of the business.
HML shares were Wednesday morning quoted at 28.00 pence, up 2.8%.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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