Press releases | Corporate and M&A, Real Estate, Tax | 19 Mar 2018

Legal & General acquires full ownership of CALA Homes

Overview

Travers Smith LLP has advised CALA Homes and certain of its selling shareholders in connection with the acquisition by Legal & General of the 52.1% interest in CALA Homes that it did not previously own, resulting in Legal & General now taking full ownership of CALA Homes.

The transaction, which is not subject to any conditions, completed on 12 March 2018. The total equity valuation of 100% of CALA Homes under the transaction is £605 million. The acquisition cost for Legal & General was £315 million plus additional transaction costs and financial adjustments to reflect the contribution of management and Patron Capital during the period of joint ownership. 

CALA, which was jointly acquired by Patron Capital and Legal & General in 2013, is a leading UK provider of high quality family housing. It delivered 1,677 total home completions and £92.8 million of operating profit in the year to 30 June 2017. 

Travers Smith was introduced to the CALA Homes team by Patron Capital, a long standing client of the firm.

The Travers Smith team advising on the transaction was led by Private Equity Partner Edmund Reed, who was supported by Private Equity Senior Associate Joanna Roberts, and Private Equity Associate James Thompson. Property advice was provided by Head of Real Estate, Simon Rutman, Real Estate Senior Associate Sarah Walker and Real Estate Associate Charlotte Fletcher. Tax advice was provided by Tax Partner, Kathleen Russ.

Legal & General were advised by Slaughter & May.