Galliford Try Plc, an Uxbridge-based construction and housebuilding group, has agreed to buy the residential development assets of Wright Homes (Hull) out of administration for £7 million in cash.
Galliford Try Plc, an Uxbridge-based construction and housebuilding group, has agreed to buy the residential development assets of Wright Homes (Hull) out of administration for £7 million in cash.
Wright’s assets comprise five housing sites in the areas of Hull and York, a total of 147 plots, of which 18 are complete and 63 are at an advanced stage of construction. The completed buildings have been valued at £6 million. The deal will be financed out of Galliford’s existing cash resource.
The sites will be managed from Galliford Try’s regional housebuilding office in Grimsby. Greg Fitzgerald, Galliford CEO, said: “The acquisition of Wright Homes provides additional immediate points of sale and landbank that will add to our existing business based in the Lincolnshire and Humber area and extend its geographical reach for the future.
“We will continue to take a highly selective approach to the opportunities that arise to add to our housebuilding business in the current market and to enhance its positioning for the longer term.”
The housing group made a £48.7 million loss in the last six months of 2008, comprising write-downs of housing-related assets totalling £47.7 million and redundancy costs of £1 million.
Galliford’s revenues fell from £898 million to £777 million over the same period. The company recently announced that it had implemented a £25 million cost-saving programme to meet current market conditions.
