Begbies Traynor acquires Hargreaves Newberry Gyngell

(Sharecast News) - Restructuring specialist Begbies Traynor has agreed to acquire chartered surveyors firm Hargreaves Newberry Gyngell in a deal with as much as £1.0m.
Begbies Traynor said on Monday that it would make an initial cash consideration of £400,000, with a contingent cash consideration of up to £600,000 becoming payable subject to the achievement of stretching financial targets in the first two years following completion.

The AIM-listed group said the addition of HNG was in line with its strategy of increasing the scale and quality of its businesses both organically and through value-accretive acquisitions.

Begbies added that in the trading year ended 30 September 2020, HNG reported revenues of £1.5m, with normalised pre-tax profits of £200,000, while net assets came to £300,000.

Chairman Ric Traynor said: "The acquisition of HNG is in line with our strategy to develop our property advisory and transactional services division, by increasing both its scale and market position, as well as the scope of its service offering and geographical coverage."

As of 1130 GMT, Begbies Traynor shares had ticked up 1.25% to 112.90p.