Foxtons is facing renewed pressure to sell up after a major shareholder increased its holding in the company.

Canadian investment firm Converium Capital now owns 5%, up from 4% after buying more shares last week.

And last year it joined another big shareholder, Milkwood Capital, in pressing for the London agent to be sold.

Pass the popcorn, things could get interesting.”

Dan Coatsworth, Investment Analyst at AJ Bell, told The Neg: “Pass the popcorn, things could get interesting in the property world.

“Converium has increased its stake in Foxtons from 4% to 5%, thereby giving it more power to influence change in the business.”

He said Foxtons made £17.2 million pre-tax profit in 2024, and this is expected to rise to £20.6 million in 2025, £24.8 million in 2026 and £28.3 million in 2027.

Investors are understandably getting impatient.”

“The trajectory implies a growing business, yet its share price remains stuck in a narrow range and investors are understandably getting impatient,” he says.

“It’s a natural target for an activist investor to agitate for change, or in the view of Converium to put itself up for sale.

Swallowed up

“The business is valued at £191 million so could easily be swallowed up by a private equity company and bundled together with another estate agent with a presence outside of London to create a national champion.”

Foxtons reported impressive end-of-year results in March, with profit before tax up 121% to £17.5 million, and group revenue up 11% to £163.9 million.

Allegations

The agency was though rocked by allegations that female staff were victims of unwanted sexual advances by colleagues, and other employees drove cars while drunk.

There was a long list of claims reported by Bloomberg and repeated by The Times, and the agency responded with a strongly-worded statement.

Foxtons stepped up its expansion in the last year with the acquisition of several small agencies in Watford and Reading.

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