WSP buys GL Hearn from Capita
The outsourcing and consultancy giant has agreed to sell GL Hearn along with the Capita Real Estate & Infrastructure business for a combined £60m.
The CREI business provides specialist advisory, design, engineering, environmental and project management services for land, building and infrastructure owners.
GL Hearn, a well-known firm in the Manchester market headed locally by Stephen Downey, provides advice to developers, investors and occupiers across planning and development, rating, valuation and occupier services.
Multidisciplinary consultancy WSP is a key player in the region, working from around 55,000 sq ft at No.8 First Street, where it moved in 2018. The firm acquired planner Indigo in 2019. It also has premises in Liverpool and Wrexham.
CREI has a base in Blackburn, and one at the Tootal Buildings in Manchester, where it is co-located with GL Hearn.
The reported revenue and profit before tax of the two businesses combined for the year to 31 December 2021 were £88.6m and £5.1m respectively.
The combined gross assets were £124.2m on 31 December 2021. The sale is subject to certain consents.
Senior management teams and employees of CREI and GLH will remain with their businesses as they transfer to the ownership of WSP.
The disposal reflects Capita’s focus on its two core divisions. It has already sold four subsidiaries this year, and the total proceeds from the non-core disposal programme will be more than £800m upon the completion of this deal.
Jon Lewis, Capita’s chief executive, said: “We are pleased to have agreed the sale of these two businesses to WSP following a competitive sale process.
“It marks another significant step, as we continue to simplify and strengthen Capita, and become a more successful business for the long term.
“At the same time, our REI and GLH colleagues and clients will join an established industry organisation with plans to take the businesses onto the next stage of their development.
“We will continue to execute on our plan at Capita to materially reduce debt through the disposal of non-core businesses.”
Capita is being advised on the CREI and GLH transaction by Deloitte Corporate Finance.
That two stories in a week involving the Grand old Tootal building. One of Manchester’s many treasures down Oxford Rd/St.
By Anonymous
And I imagine everyone at GL Hearn/CREI now collectively breaths a sigh of relief. I’m not sure I’ve ever seen an unhappier merger than that of Capita and the real estate businesses it acquired. Onwards and upwards for everyone involved!
By Anonymous