Planning consultancy sold for up to £5m
WYG, the global project management consultancy has bought a Cumbrian property asset managenment and planning consultancy in a deal worth up to £5m.
The group believes the acquisition of Carlisle-based North Associates and its subsidiary Taylor & Hardy will position it “to benefit from some of the anticipated £90bn of investment planned as part of the development of Britain’s ‘Energy Coast’ in West Cumbria”.
Draft accounts for the year to July showed North Associates generated an adjusted pre-tax profit of £486,000 on a turnover of £2.9m and Leeds-based WYG said it expects its contribution to be “significantly higher” from the 2017 financial year onwards.
Paul Hamer, WYG’s chief executive officer, said: “We have collaborated successfully with them in the past on several projects and are confident that their experience in residential, energy and infrastructure markets will significantly strengthen our property asset management team. The acquisition will expand our offering across Cumbria and the North, in particular along Britain’s Energy Coast.”
“Following on from the acquisitions of Alliance Planning and FMW Consulting, in September 2014 and June 2015 respectively, today’s news further demonstrates WYG’s ability to deliver sustained growth both organically and by acquisition, in line with our strategic growth aspirations.”
The purchase price will be paid in cash in three stages. The first £2.3m is to be paid on completion, with a further £0.5m due on the first anniversary of completion, subject to the collection of various debts and the conversion of the work in progress. The remaining £2.2m is dependent upon the recovery of contingent fees over the three years following completion.
North Associates provides specialist property asset management consultancy services to commercial developers, public sector bodies and regional landowners. It acquired Taylor & Hardy, a local planning consultancy, in 2012. North Associates’ co-founder and managing director Andy Ross will move over to WYG along with the business.
