Belvoir Lettings acquires Gloucestershire-based mortgage intermediary
Britain's largest property franchise Belvoir Lettings has continued its growth strategy with the acquisition of Mortgage Advice Bureau's Gloucestershire-based subsidiary for £3.6m.
Belvoir Group
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16:34 07/03/24
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Belvoir funded the acquisition of MAB, a wholly owned subsidiary of AIM-listed mortgage intermediary Mortgage Advice Bureau, with cash from a drawdown of its existing bank facilities and expects the firm to be immediately earnings accretive.
For the twelve months ended 31 December 2017, MAB Glos generated revenues of £3.06m and pre-tax profits of £467,000 and is expected to deliver "further financial growth" throughout the remainder of 2018 and into 2019.
Chief executive Dorian Gonsalves, said: "We believe that the acquisition of MAB Glos will provide the basis for developing a network of financial advisers to support our franchisees at a local level, in addition to the existing mortgage advice services delivered centrally by Brook."
"This will give our existing property franchisees the ability to 'build a business within a business' by either utilising an existing MAB Glos mortgage adviser or taking on their own new adviser on-site."
Elsewhere, Belvoir has seen the strong growth witnessed throughout the first half of its trading year continue into the second and expects to finish the year in line with expectations.
As of 0940 GMT, Belvoir shares had risen 3.95% to 92p.