Property management, insurance and ancillary services provider HML Holdings has acquired Chilton Estates Management (CEM), a property management business based in Bath, Avon.
HML Andertons Limited, the subsidiary of HML Holdings that covers the West of England has purchased the business and assets of CEM for GBP545,000.
This consideration will be satisfied in cash from HML’s existing cash balances.
The transaction includes an additional performance related retention payment of GBP141,000 which will, subject to the achievement of certain criteria, be made 24 months from today.
CEM produces annual revenues of approximately GBP433,000 and has normalised earnings of GBP100,000. The acquisition is expected to be immediately earnings enhancing.
CEM was founded in 1996 and is a family business providing property management services to approximately 2,000 residential units in the Bath area. Deborah Velleman, managing director and former owner of CEM, will continue to manage the business and all of the employees of CEM will continue to be based in their current offices in Bath.
Rob Plumb, chief executive of HML, says: “We are delighted to welcome the Chilton Estates team to the HML group. We have had a presence in the West Country for some time but CEM will provide the momentum we clearly need to effectively compete in this area. CEM has an excellent customer retention record and a customer service culture that is entirely compatible with our own.”