2nd Mar 2020 08:32
(Alliance News) - Estate agency Foxtons Group PLC said Monday its has acquired London Stone Properties Ltd for GBP2.2 million.
Shares in Foxtons were up 2.8% in early morning trade in London at 82.16 pence.
Foxtons has acquired both London Stone Properties and its subsidiary, London Stone Property Sales Ltd, from owner and founder Hilary Stone.
Foxtons described London Stone as "a well-established, high quality independent estate agent, primarily focussed on lettings and property management". Like Foxtons, and implied by the name, London Stone has its headquarters in London.
Overall, Foxtons will pay GBP2.2 million in cash for London Stone, with GBP200,000 of this deferred for 12 months. This is being funded using Foxtons's existing cash.
In 2019, London Stone made a GBP700,000 pretax profit on revenue of GBP1.5 million and had gross assets on December 31 of GBP4.3 million. The deal is set to enhance earnings starting in 2020.
Foxtons said: "The directors believe the acquisition will fit well with our existing business model and branch network due to the high level of customer service and strong growth in landlords that London Stone has demonstrated over a number of years."
By Anna Farley; [email protected]
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