Bank of Scotland Corporate, part of HBOS, has acquired a 40% stake in Tulloch Homes Group in a deal worth £27.5mln (EUR 34mln). Following the transaction, Tulloch's chairman and chief executive David Sutherland will remain the company's largest shareholder with a 43% interest. 'The deal represents a significant development in Tulloch's history, with Sutherland securing a major financial institution in Bank of Scotland as a shareholder to support the Group's future growth aspirations', the company said in a statement.
Bank of Scotland Corporate, part of HBOS, has acquired a 40% stake in Tulloch Homes Group in a deal worth £27.5mln (EUR 34mln). Following the transaction, Tulloch's chairman and chief executive David Sutherland will remain the company's largest shareholder with a 43% interest. 'The deal represents a significant development in Tulloch's history, with Sutherland securing a major financial institution in Bank of Scotland as a shareholder to support the Group's future growth aspirations', the company said in a statement.
Established in 1925, Inverness-based Tulloch Homes Group is active in the Scottish homebuilding industry. In 2007, Tulloch made three major acquisitions - Castleglen Properties, Aviemore & Highland Developments and Cameron & Paterson Holdings - providing the group with a strong land bank in the North of Scotland. The company employs 300, predominantly in Scotland.
Sutherland said: 'This is an excellent move for Tulloch Homes Group and I am delighted that our bankers of more than 20 years have decided to invest in our future'.
The Scottish housing market outlook is still considered to be strong, having outperformed the UK market over the past four years. 'We currently have a significant land bank at current volumes of five years across Scotland and this investment by Bank of Scotland will give us the opportunity to grow our business even further', he added.
