Housing groups put merger talks on back burner

TWO Liverpool-based housing groups have agreed to a pause in their discussions regarding a potential merger.

In February 2015, Liverpool Mutual Homes (LMH) Group and Symphony Housing Group announced that they would begin exclusive talks to investigate the possible advantages of joining together.

Since then, the organisations jointly conducted an assessment which had indicated clear potential benefits.

But their respective boards have now decided to pause the discussions.

During the pause, LMH will be open to pursue other merger opportunities that may arise and which are consistent with its strategic aspirations and are also underpinned by an efficient and integrated operating model.

Symphony will concentrate its focus upon continuing with its internal partnership review and changes to the current operating arrangements within the group.

Both organisations say they will continue during this period to look for opportunities short of merger to work more closely, in order to help with improving value for money and delivering more and better outcomes.

LMH chief executive Steve Coffey said:“There is a clear need for consolidation in the sector and to become more efficient and increase value for money following the Summer 2015 Budget.  

“LMH is committed to embrace this agenda and use our strong position together with our simple, and integrated, operating model to achieve better outcomes following this shift in policy.

“We have a well developed set of design principles which clearly define the simple and efficient way our organisation is run.

“We remain keen to pursue this opportunity with Symphony once their internal partnership review has achieved its objectives but in the meantime we will look at other suitable opportunities.”

Chief executive of Symphony Housing Group, Phil Gandy, said: “The exploratory work we did with LMH was extremely useful, but at this point Symphony has decided to focus upon completing the streamlining process within our existing operating structure before considering further expansion of that structure.

“This leaves the option open to revisit the opportunity with LMH at a later date.

“In the meantime, we will continue to look for opportunities to work more closely with LMH on issues that would add value to both organisations.”