Elgin-based Springfield Properties eyes growth north of the border
AIM-listed Scottish housebuilder Springfield Properties has snapped up Glasgow-based Dawn Homes in a deal worth £20.1m.
Elgin-based Springfield is part-financing the acquisition via a £15m share placing.
Dawn Homes reported pre-tax profit of £3.1m for the year to the end of January 2017 on turnover of £22.6m.
The firm, which employs 49 staff, controls around 1,300 plots, while Springfield has a land bank of 9,195 plots.
Springfield chief executive Innes Smith said the deal was part of the group’s plan to ramp up growth by expanding into new areas.
“Through the purchase of Dawn Homes, we have gained another foothold in another part of Scotland,” he added.
Springfield, which employs 500 staff, reported pre-tax profit of £6.7m in the year to the end of May 2017 on turnover of £111m.
It is currently focused on building five new ‘villages’ across Scotland which will eventually see around 10,000 new homes built.