Housebuilder with Gloucestershire base report record half-year profits and bid £1billion for rival
By James Young | 10th September 2019
Housebuilder Bovis have reported record profits before tax of £72.4million for the six months to June 2019 and have reopened their bid to buy Linden Homes for in excess of £1billion.
Bovis, who have their Western regional office in Bishop's Cleeve, announced to the Stock Exchange this morning that they have "re-engaged in preliminary discussions" with Galliford Try.
It would see Galliford Try's Linden Homes and Parternships and Regenerations divisions (The Housing Businesses) be acquired by Bovis and "high level terms" have been agreed.
In the statement Bovis said: "There remains significant work to be completed before definitive transaction documentation can be agreed."
It adds: "If the potential transaction proceeds, it is expected to value the Housing Businesses at £1.075 billion.
The announcement came on the same morning as Bovis Homes PLC released its half-year results for the six months to June 30.
Completions were up four per cent on the same period last year, with 1,647 new homes brought to market with an average selling price of £269,200.
Group revenue rose by nine per cent to £472.3 million, leading to a 20 per cent rise in profits to £72.4million.
Greg Fitzgerald, Chief Executive said: "We delivered an excellent first half performance with a significant step up in our sales rate, record profits and a further strengthening of our balance sheet.
"The Group has transformed over the past two years and we are consistently delivering high quality new homes with very high levels of customer satisfaction, as demonstrated by the significant improvement in our HBF rating over the past 12 months.
"The fact that we are now trending at a 5-star level is testament to the continued hard work and dedication of our team.
"We are very well positioned for the second half and expect to deliver another strong performance in the year."
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