The listed Knights group has bolted on another firm in the south east after agreeing a deal worth £4m. Knights announced to the London stock exchange today that it has agreed to buy THP Solicitors, with completion expected on 25 September.
The purchase means the THP offices in Reading and Henley will close, with 30 fee earners moving into Knights’ existing Reading office. The company has confirmed that no lawyers’ jobs are at risk, but that assurance does not cover back-office staff. As of April this year, the firm employed a total of 56 people.
THP operates in a similar geographical area to Moore Barlow which began talks earlier this year with Knights over a possible merger. It is understood that irrespective of the THP purchase, talks with Moore Barlow are ongoing.
Under the terms of the THP acquisition, Knights will buy the firm for a total consideration of £4m. The deal comprises an initial cash payment of £2.4m on completion with the remainder being payable in equal instalments on each of the first, second and third anniversaries, subject to certain conditions.
THP has operated in the Thames Valley region for more than 35 years, originally as The Head Partnership, and it was acquired by its current owners around 16 years ago. It works in a range of practice areas, with particular strengths in private wealth, family and real estate.
Knights chief executive David Beech said: ‘Following our expansion into the Thames Valley last year through the acquisition of IBB Law, THP represents a compelling bolt-on opportunity that further increases our scale in an attractive and growing market. THP’s expertise will strengthen our capabilities, broadening our full-service offering for clients across the region, whilst leveraging our premium Reading office and our recent investment there.’
Rachel Gaylor, one of four directors of THP Solicitors Limited, said the deal provides the platform needed for the firm to develop.
‘Our clients will benefit from access to a broader range of services and expertise, while our colleagues will have greater opportunities as part of a larger national business with scale and resource,’ she said.
According to the firm’s balance sheet published this month, as at April this year THP had net assets of around £195,000 including £608,000 cash reserves.
Shares in Knights Group Holdings plc rose slightly to 179.5p on the news.
No comments yet