Germany's Bilfinger in talks to take over GVA

German listed engineering and services firm Bilfinger has confirmed that it is in discussions to acquire UK independent commercial property agent GVA.

'We are able to confirm that there are contacts between Bilfinger and GVA. We cannot provide any further information at this time,' a Bilfinger spokesperson told PropertyEU.

Headquartered in London and with 12 offices, GVA is currently the UK’s largest independent commercial property consultant. Its overall business generated turnover of £147.3 mln (€177 mln) in the year ended 30 April 2013, up from £140.4 mln the previous year. The 190-year old agency is also the majority shareholder in GVA Worldwide, a partnership of independent commercial real estate companies serving over 50 markets throughout Europe and Asia.

The brokerage group announced in October last year that it had appointed corporate finance firm Cannacord Genuity to review its strategic options in order to pay back its minority private equity owner and grow on the international stage.

GVA said the options under review included a sale of the company, an initial public offering or a debt refinancing to pay back its minority shareholder, private equity firm Lloyds Development Capital (LDC).

The strategic review comes after a restructuring of GVA's debt in 2012 and sharp improvements in the company's pre-tax profits which grew from £146,000 in the 2011-12 financial year to £7.8 mln in 2012-13.

GVA aims to create a performance-led business that can achieve pre-tax profits of £20 mln by 2016.

Last year, GVA completed a restructuring of its debt with shareholder Lloyds Development Capital, exchanging loan notes valued at £60 mln for a 27.5% stake in the company.