Embattled Countrywide, the UK’s largest estate agency, on Friday agreed a £38 million sale of its commercial property business.
The owner of brands such as Bairstow Eves will offload Lambert Smith Hampton, an agent that has previously advised the BBC and Tottenham Hotspur on property. It is subject to shareholder approval.
The buyer is Danish entrepreneur John Bengt Moeller, at Monaco-based private family investment office Great Global Holdings.
Today’s deal will help Countrywide reduce its debt pile to around £60 million. It is focusing on its main residential sales and lettings business, and has been increasing services it offers to customers.
Countrywide is trying to recover after a series of profit alerts. It has been hurt by tough market conditions but said 2019 results will be in line with expectations.
Peter Long, chairman of Countrywide, said: “This is a good price and LSH is going to a good new owner.” He added that Countrywide's turnaround "is going well".
Ezra Nahome, chief executive of Lambert Smith Hampton, said: “We are excited to enter 2020 with our new owner, who is fully behind our long-term vision and strategy.”
Shares in Countrywide rose 0.7p to 5.36p. It floated at 350p per share six years ago.
Barclays and Jefferies are advising Countrywide. RSM corporate finance is working with the buyer.
