15th Nov 2007 07:03
Galliford Try PLC15 November 2007 GALLIFORD TRY ACQUIRES NORTH EAST AFFORDABLE HOUSING BUSINESS Galliford Try plc, the construction and housebuilding group, announces theacquisition of Kendall Cross Holdings Limited, a long established specialistaffordable housing contractor based in the north east of England with a headoffice in Newcastle on Tyne. The business has a considerable track record inworking on a partnership basis for housing associations and local authorities. The total consideration payable is £9.3 million, to be satisfied in cash, ofwhich £1.5 million is on deferred terms. At completion, Kendall Cross heldpositive cash balances amounting to £2.0 million, resulting in a net initialcash outlay of £5.8 million. For the financial year ended 31 May 2007, KendallCross reported profits before tax and exceptional items of £1.6 million on aturnover of £23.3 million. It is expected to have net assets at completion of£3.7 million. Greg Fitzgerald, Chief Executive of Galliford Try plc, commented: "The expansion of our affordable housing and regeneration business is a keyelement of our strategy going forward. The acquisition of Kendall Cross providesan established platform to grow the business in the north east of England, anarea in which we do not currently have a presence and in which we seeconsiderable potential. Putting the resources and expertise of Galliford Trybehind the local client base and excellent reputation of Kendall Cross willenable us to develop a significant market presence in the region." For further enquiries: Greg Fitzgerald, Chief Executive Galliford Try 01895 855219 Frank Nelson, Finance Director Galliford Try 01895 855226 Ann-marie Wilkinson / Dan de Belder Bell Pottinger Corporate and Financial 020 7861 3232 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Galliford Try