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Financial Services

Begbies Traynor snaps up chartered surveyor to bolster property arm

The corporate restructuring firm will pay up to £2.4mln on a cash free debt free basis

Begbies Traynor (AIM:BEG) said it has acquired Budworth Hardcastle, a chartered surveyor with offices in Northampton, Kettering, and Peterborough.

The business will be integrated with Eddisons, the insolvency group's property division, which has regional offices in Bury St Edmunds, Huntingdon, Northampton and Peterborough.

Shares jumped 3.8% at 152.60p in London on the news.

Begbies Traynor will pay up to £2.4mln on a cash-free debt-free basis, which includes an initial consideration of £900,000 made up of £600,000 in cash and 206,937 new ordinary shares.

If financial performance is maintained for three years following completion, a contingent cash consideration of up to £900,000 will be paid, with a maximum cash earn-out of £600,000 also included if growth targets are met over the next five years.

In the year ended August 31, 2021, Budworth Hardcastle generated unaudited revenue of £1.8mln and normalised pre-tax profits of £0.4mln, with net assets of £0.4mln.

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