Irish housebuilder buys Newcastle-based business and posts a 16% rise in 2006 profit

Irish housebuilder McInerney has made another UK acquisition as it announces a 16% rise in pre-tax profit for 2006.

The company has paid £16.25m for Lancing, which specialises in private homes in the Newcastle and Gateshead region of the UK. Last year McInerney bought Augusta Developments and Bowey Homes and has said it is focusing its acquisition strategy on the UK.

For the year ending 28 February 2006 Lancing generated pre-tax profit of £1.5m and the deal includes McInerney taking on £3m of debt. The Irish housebuilder also plans to raise around £58m through a rights issue.

The news comes as McInerney reported a 16% rise in pre-tax profit to £39m for the year ended 31 December 2006. Revenue jumped 29% to £422m.