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(Sharecast News) - Legal and professional services firm Knights Group said on Tuesday that it had agreed to acquire Essex-based regional law firm and financial advisory business Birkett Long, further bolstering its scale in the "attractive" South East market.
Knights agreed to acquire Birkett Long LLP and Birkett Long IFA LLP, collectively trading as Birkett Long, from its equity partners for a total of £16.6m on a cash and debt-free basis, comprised of an initial cash consideration of £10.0m, and deferred cash consideration of £6.6m.
The AIM-listed group said the consideration will be satisfied from existing banking facilities, while completion was expected to take place on 13 June for Birkett Long LLP, while the acquisition of Birkett Long IFA LLP was expected to complete at a later date, subject to FCA consent.
Chief executive David Beech said: "This deal significantly expands Knights' presence in the South East, adding scale in areas immediately surrounding London, and provides an entry into wealth advisory, a complementary service which has been of interest to Knights for some time.
"We are confident that without the constraints of independent ownership and building on its growth in recent years, the acquisition will deliver further organic growth in the region."
As of 1030 BST, Knights Group shares were up 4.56% at 149.0p.
Reporting by Iain Gilbert at Sharecast.com
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