Grainger Plc Acquires Equity Release Specialist

It has been announced that the largest British residential landlord has acquired an equity release firm, the deal that was first mentioned in May 2010.

Having purchased Home & Capital and Sovereign Reversions, Grainger Plc said that these companies will continue to trade under their brands despite of the fact that they now are part of the Grainger Group.

Grainger Plc's chief operating officer, Mr. Couch, claimed that the landlord's decision to buy the equity release firm can be explained by the great growth prospects this market offers. In its turn, Sovereign Reversions' chief executive, Mr. Marshall, said that its acquisition by Grainger provides more opportunities for further development and improvement of services.

The overall cost of the acquisition amounted to £34.6 million or 202 p per share, as announced by Grainger on August, 11th.

The firm is currently holding negotiations with Moorfield, a British property investor, with a view to set up a joint venture and to make the investor the funding partner.