Mears buys Pennington Choices for £9.5m

(Sharecast News) - Mears said on Monday that it has bought Pennington Choices (PCL) for £9.5m in cash. Based in Warrington, PCL was established in 2000 by the former majority shareholder Mark Seaborn and employs around 150 people.

Mears - which provides housing services to the public and regulated sectors in the UK - said Seaborn will remain with the business following completion to ensure a smooth transition and integration into the wider group.

Mears said PCL has a strong reputation in the social housing market delivering a range of compliance activities, including but not limited to stock condition surveys, fire risk assessments, energy performance certification, asbestos testing and consultancy services.

The company estimated that PCL will deliver revenue and adjusted EBITDA post-synergies of £17m and £1.5m respectively, and be earnings accretive, in its first full year in the group.

Chief executive Lucas Critchley said: "Mears has made solid progress in developing its systems and front-line capability to deliver compliance services. Pennington Choices' core competencies in professional and technical services are complementary to Mears' existing offer and this acquisition will accelerate our progress in the attractive and growing compliance space.

"In addition to the strategic fit, importantly, we also see a strong cultural alignment between both organisations, particularly in terms of the emphasis given to the investment in, and development of, our respective teams, and I am excited to welcome the employees and customers of Pennington Choices to the group."