Capita buys property consultants in £30m deal
PROPERTY consultants GL Hearn have been bought by Capita in a £30m deal.
Capita will pay £25m cash, with a further £5m deferred, for the company, which has its northern office in Spinningfields, Manchester. GL Hearn employs 250 people across its eight UK offices.
Andy Parker, Capita’s chief executive, said: “GL Hearn will be a transformative addition to Capita’s property and infrastructure business. Beyond extending and enhancing our existing real estate offer, GL Hearn’s track record and range of expertise will allow us to provide market-leading commercial, technical and strategic advice across the entire development process.”
GL Hearn reported an operating profit of £5.8m on turnover of £31.2m in the year to May 2015. Capita expects to grow the business and achieve a return on capital in excess of 15%.
The consultancy client list includes some of the UK’s largest retailers and developers, as well as a number of other blue-chip companies and the public sector.
“Being part of Capita will enable us to accelerate the growth potential of the GL Hearn business and build an even stronger platform for ours and Capita’s public and private sector clients,” said Brian Sloggett, managing director of GL Hearn.
“Following its acquisition by Capita, and over 90 years since it was first founded, GL Hearn has entered into an exciting new phase. It will join forces with Capita’s real estate business to generate a new and unique powerhouse in the UK property market.”
