British homebuilder Persimmon plc (LON:PSN) said on Monday it had taken over regional sector player Hillreed Homes for GBP35.7m (USD57.4m/EUR44.3m) in cash, further reinforcing its presence in the south east of England.
The deal, through which Persimmon’s lays hands on Hillreed Homes’s landbank extending to some 3,400 plots, including strong strategic holdings, is in line with the buyer’s land investment drive aimed at backing growth, Persimmon’s CEO, Mike Farley, noted.
Headquartered in Kent, Hillreed Homes focuses on family housing, which complements the buyer’s Persimmon, Charles Church and Westbury Partnerships brands, the CEO added.
Persimmon was founded in 1972 and is based in York. The principal trading units of the group, which focuses on housebuilding, are Persimmon Homes Limited and Charles Church Developments Limited. Persimmon’s core business is The Persimmon Homes, which builds three, four and five-bed detached properties, two and three-bed town houses, semi-detached houses, bungalows and apartments.
Under the Charles Church brand, the company builds modern and traditional-style premium homes. Persimmon’s The Westbury Partnerships business provides social housing in conjunction with the group’s timber frame making arm, Space4.
Persimmon’s underlying profit before tax surged 65% on an annual basis to GBP98.7m in the first half of 2012 and its operating margin climbed by 320 basis points to 12.2%.