Lomond Capital and Linley & Simpson have merged in £100m deal backed by private equity firm LDC.
The two agencies will create a national group with a combined portfolio of more than 22,000 properties under management and major hubs in private rental hotspots including Aberdeen, Birmingham, Brighton, Edinburgh, Hull, Leeds Manchester, Sheffield and York.
The deal has brought together well-established brands including Linley & Simpson, Thornley Groves, Brand Vaughan, John Shepherd, Stonehouse and Braemore. All local brands will continue to operate in their respective regions.
With access to further acquisition investment provided by LGT Capital Partners, the new group will now look to strengthen and expand its nationwide network through strategic acquisitions and organic growth.
Stuart Pender, new group CEO of Lomond Capital, said: “Lettings and estate agents are facing an increasingly complex regulatory environment and challenging trading conditions. We have had significant success in bringing together and supporting good quality regional agents under one operating model whilst maintaining a local, on the ground approach which together has delivered significant benefits to landlords and tenants.
“Market conditions in the private rental sector are well suited to continued growth through consolidation. We are looking to continue to consolidate regional markets, whilst at the same time enhancing the proposition the sector offers to clients, through our network of market leading regional agents.”
Lomond Capital has invested in developing a regional platform by building a presence in some of the most attractive UK cities for private renters.
Linley & Simpson is already backed by LDC and has grown significantly by adopting an ambitious acquisition strategy across the Yorkshire region. Since LDC’s investment in June 2018, the business has made 18 acquisitions and increased its portfolio from 5,000 to 12,000 properties.
Co-founder and CEO of Linley & Simpson, Will Linley, will join the board as group managing director with a focus on delivering the group’s ambitious acquisitive growth strategy. Nick Simpson will become CEO of Yorkshire and Martin Elliott CFO.
Linley commented: “This transaction is a continuation of our approach to building our business while retaining our successful local approach. We are seeking fresh opportunities to work with new lettings and estate agencies.
“We’re excited about the opportunities in each of the Lomond regions and I’m looking forward to working closely with Stuart, the Lomond team and LDC to help grow the new group.”