27th Jun 2019 11:30
(Alliance News) - Barratt Developments PLC said Thursday it has wholly acquired UK timber frame manufacturers Oregon Timber Frame Ltd for an undisclosed price.
Upon acquisition, Oregon will remain based in Selkirk, Scotland, and its management team will remain in control of the business, where it will complement the FTSE 100 housebuilder's operations in the country.
In 2018, Barratt had announced new target of 3% to 5% volume growth over the medium term, supported by a target of building up to 20% of its homes by using an element of offsite construction, including timber frame by 2020.
Over the last three years, Barratt built around 5,500 homes using timber frame construction.
The acquisition will have no material effect on the group's expectations for its financial year ending June 30.
"Barratt is committed to increasing the number of homes we build using offsite construction as part of our overall volume growth aspirations and to mitigate the current skills challenges facing the industry. Oregon is the perfect company to help us do that, with a highly experienced management team, a skilled workforce and a high quality product," said Chief Operating Officer Steven Boyes.
Shares in Barratt Developments were up 0.6% at 561.20 pence on Thursday.
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