The sale is part of B&B’s long-term policy to disengage itself from its ‘non-core’ lending to build on its ‘core’ propositions of specialist lending.
Countrywide intends to integrate the BBEA business within Countrywide’s existing estate agency division while retaining BBEA’s local brands and branches.
It is intended that SecureMove will operate as a separate surveying service business alongside Countrywide Surveyors. Non-core operations will be reviewed and cost-savings and efficiencies will arise from integrating back-office processes.
The aggregate cash consideration of £44.4 million will be funded from Countrywide’s existing resources.
Christopher Sporborg, chairman of Countrywide, said: “The acquisition of Bradford & Bingley Estate Agents and SecureMove further consolidates our position in the residential property market.
“We have acquired some highly attractive brands and believe we can substantially improve their performance by applying Countrywide’s successful management principles and disciplines.”
Paul Kelly, senior partner at Robinson Kelly and Jackson, said: “The acquisition of Bradford and Bingley Estate Agents by Countrywide will send positive signs to those who are feeling apprehensive regarding the housing market.
“However those who strive to take a national viewpoint and ignore regional variations will find that remaining a key player in the local market is a challenge.”
Paul Smith, chief executive officer of Spicerhaart, said: “It is a brave decision to spend £44 million of its shareholders’ cash. Countrywide has paid full price for these businesses at a time when the housing market has become subdued - in the last three months alone Countrywide itself has issued two profit warnings.”
