TPFG boss: The Belvoir deal was 'inevitable'

The landmark deal between The Property Franchise Group (TPFG) and Belvoir was ‘inevitable’ and more acquisitions could be on the card, Gareth Samples has said.

Speaking exclusively to Estate Agent Today, Samples, chief executive of TPFG, said there was an “inevitability” to the merger and the “timing was right” after the brands had previously tried but failed to combine around 2018.

The merger creates a £214m market cap company and one of the UK’s largest multi-brand lettings and estate agency groups, combined with a growing financial services business.

As part of the deal, Belvoir Shareholders will hold approximately 48.25% and TPFG shareholders will hold approximately 51.75% of the enlarged issued share capital of TPFG.

Samples told Estate Agent Today: “It was the right time, the market was a bit unstable, the thought of bringing it together and being bigger was more attractive.

“We were both running successful businesses post-Covid and felt coming together was the best way to get to the next level.”

Analysts at Singer Capital Markets backed the deal and even suggested that the combined group had the capacity for more acquisitions, identifying LSL and Winkworth as potential targets.

A note from the analyst firm highlighted that a Winkworth deal would require the currently unlikely scenario of the Agace family backing out of the brand, however LSL is now more focused on mortgage broking .

Samples said the Belvoir deal gives the overall brand more scope to purchase lettings portfolios and acknowledged that more acquisitions were on his mind but he was tight lipped on specific companies.

He added: “We did the Belvoir deal through an all-share merger so we haven’t spent any money.

“So we now have twice as much money for acquisitions.

“We are acquisitive and believe in putting the right businesses into the group that deliver shareholder value and opportunities.”