UK financial services company Legal & General has sold its UK house builder, Cala Group, to a consortium led by Sixth Street Partners and Patron Capital for £1.35 bn (€1.6 bn). Legal & General will receive £1.16 bn (€1.37 bn) in cash from the sale, with half of that amount payable upfront and the remainder spread out over five years.
Previously, Legal & General and Patron Capital were joint owners of Cala. Legal & General acquired the 52% in Cala that it did not already own from Patron in 2018.
At the end of the first half of 2024, Cala Group had a net asset value of £1.15 bn (€1.36 bn) and generated operating profits of £42 million (€49.8 million). The decision to sell Cala aligns with Legal & General's strategy to focus on core businesses and optimize capital allocation.
Source: PropertyEU 19 Sep 2024