Bilby, the holding company for P&R Installation Company (P&R), a gas heating and building services provider, has announced it has acquired the entire issued share capital of Purdy Holdings for £8.07m.
Purdy Holdings is a privately owned property services business based near Waltham Abbey, Essex.
The consideration is to be satisfied by way of an initial cash payment of £6.57m together with the issue of 1,250,000 new Bilby ordinary shares at a price of 80 pence per share and the issue of a £0.50m Convertible Loan Note.
The acquisition has been funded through a new term loan of £4.20m and a mortgage loan of £570,000 from HSBC Bank together with a share placing to raise a further £2.95m for the Company.
The share placing was arranged by Charles Stanley Securities and has been heavily oversubscribed.
To satisfy market demand certain directors and other existing shareholders have agreed to place 1,500,000 ordinary shares as part of the share placing.