FINANCE: Leveraged buyout firm Sun Capital and private equity fund manager TDR Capital have agreed to buy Keepmoat, an affordable housing and regeneration company.
As part of the transaction, Lloyds Banking Group will sell its equity interest in Keepmoat, which is thought to be around £600m. Lloyds became a shareholder in the company in 2012 as part of a debt-for-equity swap.
Keepmoat recorded revenues of £930m in the year to March 2014, having sold nearly 2,000 properties through its homes division, and signing a major PFI contract in Leeds through its regeneration business.
Manchester city council awarded a contract with Keepmoat in July to provide 400 new homes for sale as part of the latest phase of its £50m regeneration programme in West Gorton.
JP Morgan Cazenove acted as financial adviser to Keepmoat.
sophia.furber@estatesgazette.com
