REG - Lords Group Trading - Property Purchase

Lords TradingAnnouncement

12/01/2023 07:00

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RNS Number : 4592M  Lords Group Trading PLC  12 January 2023

12 January 2023

 

Lords Group Trading plc

('Lords', the 'Group' or the 'Company')

 

Property Purchase

 

Lords, a leading distributor of building materials in the UK, is pleased to
announce that it has entered into binding agreements in respect of the
purchase of the freehold property from which the Heathrow branch of the
Group's wholly owned subsidiary George Lines Civils & Landscaping
Merchants operates (the 'Property') from the original vendor of George Lines.

 

The Property, which is situated close to Heathrow airport and covers an area
of 1.52 acres including 5,570 square feet of covered storage, is considered by
Lords to be prime industrial real estate from which the Heathrow branch of
George Lines Civils & Landscaping Merchants is intending to continue to
operate for the foreseeable future. The branch has been operating out of the
site for more than 40 years.

 

Maximum consideration for the purchase of the Property is £6.26 million in
cash, of which £2.2 million has been paid by the Group. The balance of the
consideration is to be paid by the Group prior to 5 July 2024. Transfer of the
title of the Property to the Group will occur upon completion, being the date
on which the remaining consideration is paid, and the Group will continue to
lease the Property until completion occurs, with any rental payments paid
prior to completion deducted from the final consideration.

 

Commenting on the purchase, Shanker Patel, Chief Executive Officer of Lords,
said: "We are pleased to have been able to secure this highly sought-after
site which has exceptional logistic and trading benefits for the George Lines
Brand. George Lines has been trading from this location for over 40 years and
the purchase of the freehold will secure future trading from this site. The
purchase also re-enforces the commitment of the Group to growing the George
Lines Brand with management actively looking for new branch locations."

 

- Ends -

 

FOR FURTHER ENQUIRIES:

 

 Lords Group Trading plc                                     Via Buchanan
 Shanker Patel, Chief Executive Officer                      Tel: +44 (0) 20 7466 5000
 Chris Day, Chief Financial Officer

 Cenkos Securities plc (Nominated Adviser and Joint Broker)  Tel: +44 (0)20 7397 8900
 Ben Jeynes / Max Gould / Dan Hodkinson (Corporate Finance)
 Alex Pollen (Sales)

 

 Berenberg (Joint Broker)                               Tel: +44 (0)20 3207 7800

 Matthew Armitt / Richard Bootle / Ciaran Walsh

 Buchanan Communications                                Tel: +44 (0) 20 7466 5000
 Henry Harrison-Topham / Jamie Hooper / Abby Gilchrist  LGT@buchanan.uk.com (mailto:LGT@buchanan.uk.com)

 

Notes to editors:

 

Lords is a specialist distributor of building, plumbing, heating and DIY
goods.  The Group principally sells to local tradesmen, small to medium sized
plumbing and heating merchants, construction companies and retails directly to
the general public.

 

The Group operates through the following two divisions:

 

·  Merchanting: supplies building materials and DIY goods through its
network of merchant businesses and online platform capabilities.  It operates
both in the 'light side' (building materials and timber) and 'heavy side'
(civils and landscaping), through 30 locations in the UK.

 

·    Plumbing and Heating: a specialist distributor in the UK of plumbing
and heating products to a UK network of independent merchants, installers and
the general public.  The division offers its customers an attractive
proposition through a multi-channel offering.  The division operates over 16
locations enabling nationwide next day delivery service.

 

Lords was established over 35 years ago as a family business with its first
retail unit in Gerrards Cross, Buckinghamshire.  Since then, the Group has
grown to a business operating from 46 sites.  Lords aims to become a £500
million turnover building materials distributor group by 2024 as it grows its
national presence.

 

Lords was admitted to trading on AIM in July 2021 with the ticker LORD.L.
 For additional information please visit www.lordsgrouptradingplc.co.uk
(http://www.lordsgrouptradingplc.co.uk/) .

 

The information contained within this announcement is deemed by the Company to
constitute inside information pursuant to Article 7 of EU Regulation 596/2014
as it forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 as amended.  Upon the publication of this announcement
via a Regulatory Information Service, this inside information is now
considered to be in the public domain.

 

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