Knights Group Holdings plc (AIM:KGH) agreed to acquire Meade King from four existing equity partners of Meade King for £2.1 million on January 16, 2023. This comprises an initial cash consideration of £1.5 million, with deferred cash consideration of £0.6 million to be paid as - £0.2 million on each of the first, second and third anniversaries following completion. The cash consideration will be satisfied from existing facilities of Knights.

In its unaudited accounts for the year ended April 30, 2022, Meade King reported revenue of £2.7 million. The acquisition will bring 29 fee earners of Meade King to Knights, and facilitates its entry into Bristol, the regional financial centre of the South West, a strategic target region for the Group. The deal is expected to complete on February 17, 2023.

Following full integration and realisation of synergies, the Board expects it to contribute a PBT margin of circa 17%, which, combined with a typical level of revenue churn post-acquisition, means the acquisition is expected to be immediately earnings enhancing. Stuart Skinner and Kevin Cruickshank of Numis Securities Limited acted as the financial advisor to Knights Group Holdings plc (AIM:KGH).