Leading letting agents Romans and Leaders have merged to create one of the largest property services providers in the UK, with more than 40,000 properties under management.
The groups, which have branches in London and across the South East, East Anglia, the Midlands and the North West, have joined forces in an attempt to capitalise on the growing private rental sector.
The new collaboration between Leaders, which has 118 branches, and Romans, which has 27 branches, to form Property Services Holdings, will lead to combined revenues of around £100 million.
The agents are being merged by Bowmark Capital, the private equity firm, which backed the management buyouts of Leaders in 2010 and Romans in 2013.
Mark Salter, a Partner at Bowmark Capital, commented, “Leaders and Romans are outstanding businesses in their own right, and both have delivered impressive profit growth under Bowmark’s ownership.
“Bringing them together creates a leading lettings-focused property services group that is greater than the sum of the parts, and is perfectly positioned to capitalise on the positive market conditions.”
ICG has provided a substantial senior debt facility to support the merger of the two brands, which will continue to operate autonomously, and has committed a further £35 million to enable the new group to continue its buy-and-build strategy.
Paul Weller (left), Chief executive of Leaders, said, “This is an exciting next step in the Leaders story since forming our successful partnership with Bowmark in 2010. We are looking forward to sharing expertise with Romans to take fullest advantage of the expected growth in residential sales and lettings in the UK.”
Romans Chief Executive Peter Coles (right) added, “With Bowmark’s backing, Romans has continued to expand across the South East. The merger with Leaders gives us access to a national platform and deep buy-and-build expertise, creating new opportunities for both businesses as we enter the next phase of growth.”