Development Securities agrees to acquire Cathedral Group
Development Securities PLC ("Development Securities" or the "Company" or the "Group") today announces that it has agreed to acquire Cathedral Group (Holdings) Limited together with certain other entities forming part of its related business ("Cathedral"), a privately owned Greater London and South East of England specialist mixed-use regeneration developer, for an initial consideration of £20.9 million to be settled in cash and shares, with additional deferred and contingent consideration to be paid at a later date under certain circumstances (the "Acquisition"). The total consideration is expected to be up to £27.4 million based on the current business plan.
The Acquisition will add nine high quality, mixed-use development opportunities to Development Securities' existing portfolio, supporting the Company's focus on creating value through regeneration. The Cathedral team also brings with it significant additional development expertise with two members of Cathedral's highly respected management team set to join the Company's board (the "Board") upon completion.
With a diversified portfolio of projects already established and good visibility on further opportunities, the acquisition enhances Development Securities' capacity, providing a strong platform for future growth.