Leicester housebuilder Westleigh has been sold to Essex-based Countryside Properties in deal that could eventually be worth up to £135.4 million.
With its headquarters in Whetstone, the affordable-homes-builder is being bought out by the housing developer and urban regeneration business Countryside Properties.
Westleigh has been operating since 1985 when it was founded by Chris Beighton. He will step down as chairman once the acquisition deal is complete.
Countryside Properties has said that the rest of the management team and the firm’s 450-strong staff will be retained to continue the growth of the business.
Over the last three decades, Westleigh has built its reputation across the Midlands and the North by working with housing associations and councils to deliver affordable homes.
In the 2017 business yea,r the firm constructed over 1,100 homes and currently holds a land bank of 4,981 plots.
It generated £150.6 million in revenue last year with an operating profit of £15.6 million and gross assets of £76.1.
Countryside said the £135.4 million acquisition figure was based on future growth.
Up to £23.5 million of the sale price will be deferred for two years, with some of it being released subject to performance.
Ian Sutcliffe, chief executive of Countryside, said: “Westleigh is a well-run business with a strong strategic, geographic and cultural fit to Countryside and provides us with an excellent platform for further partnerships growth.
“We see a huge opportunity in combining Westleigh's regional expertise with the Countryside mixed tenure business model.”
The acquisition continues Countryside's strategy of expanding its partnerships, with Westleigh providing a “strong strategic and cultural fit” with the firm’s model.
The firm said: “Countryside's mixed tenure model of delivering private for sale, private rental sector and affordable homes together with the enhanced buying power from being part of a larger group will improve underlying returns in the Westleigh business.”
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