Private equity firm snaps up huge lettings agency network

Bowmark Capital is selling its Leaders Romans Group, one of the UK’s largest property services groups, to another private equity operator, Platinum Equity. 

LRG was formed from the merger of two Bowmark portfolio companies, Leaders Lettings and Romans Group, in 2016. 

It specialises in residential property lettings, sales and associated professional services including planning and surveying. 

The group has a nationwide network of 210 branches and offices, and manages over 62,000 properties across the UK.

Under the stewardship of Bowmark and LRG’s agency heads, revenues have approximately trebled to £165m, the number of employees has increased from 960 to 2,500, and the business has completed a total of 132 bolt-on acquisitions of branches and lettings portfolios.  

Peter Kavanagh, LRG’s chief executive officer, comments on the sale: “Our partnership with Bowmark has been instrumental in building LRG into one of the leading property services groups in the UK.  As a result of the investment in people, operations and new services, the business is well-positioned to capitalise on the exciting opportunities that lie ahead – both from organic growth and the continuation of our successful acquisition strategy.  I look forward to working with Platinum in the next stage of LRG’s development.”

Bowmark partner Tom Shelford says: “We are delighted to have supported LRG to become the leading consolidator in the sector.  The exceptional calibre of LRG’s people, and its focus on service excellence through digital transformation and product innovation, will ensure its continued success with its new investment partner.”

No figures for the deal have been disclosed but in September of last year the Daily Mail scooped that LRG was likely to be sold within months, and said at the time that bankers had told Bowmark Capital a deal would probably raise between £350m and £400m.