Deal closing in on Yorkshire housing developer Keepmoat
KEEPMOAT is on the verge of being taken over in a £400m deal.
According to Sky News, the co-founder of PizzaExpress and head of investment firm Sun Capital Partners, Hugh Osmond, is in exclusive talks to buy the Doncaster-headquartered housing developer alongside TDR Capital, a private equity group.
The negotiations are at an advanced stage and could lead to a deal being signed as soon as this week, according to insiders.
Sun Capital Partners and TDR have seen off competition from rival bidders such as American private equity firm Apollo Management.
Keepmoat, like a number of housebuilders, ended up under the control of Lloyds, which is 25% owned by the tax payer. The housing developer was later sold to investment firm Caird Capital, before being merged with housebuilder Apollo. Lloyds then took a stake in 2012 as part of a debt for equity swap.
Yorkshire’s Keepmoat employs more than 3,000 staff. Speaking in March this year following the Budget, Keepmoat CEO Dave Sheridan told TheBusinessDesk.com that the company is looking forward to one of its best ever years as it experiences double digit growth in house construction. Over the 2014/15 financial year, Keepmoat plans to build more much needed new build houses – volumes will be up by 30% this year to 2,000 homes. He also said the firm plans to employ another 100 apprentices over the next 12 months.
Keepmoat’s areas of expertise include new build homes, community regeneration, responsive maintenance, retirement solutions and sustainability. It has 22 regional offices.
