A management buyout (MBO) bid has been set in motion for Beazer Partnerships.
But the MBO team, led by Beazer Partnerships managing director John Cadwallader, may have to compete against two other trade buyers to gain control of Beazer’s social housing division and two Torwood timber frame prefab factories.
The move follows the acquisition of the Beazer Group by Persimmon Homes whose group chief executive, John White, has made it clear he is not interested in prefabricated buildings.
This concerned Beazer Partnerships’ partner, Amphion – a consortium of more than 20 housing associations throughout England. It has an ongoing project with Beazer for the provision of 2,000 houses, 300 of which have been supplied.
However, Amphion chairman Richard Finlinson has received a letter from John White assuring him that Persimmon will support the current partnership team and continue to invest in Beazer’s Torwood plant at Ipswich, so as not to jeopardise the project in the short- to medium-term, until its plans are concluded.
Mr Finlinson said: ‘Persimmon is actively trying to effect a sale and I believe there will be a short list of the MBO and two other trade buyers, although I don’t know who they are. Persimmon is hoping to complete the deal by June.
‘I am quite sure the Amphion consortium will go from strength to strength – this is just a minor blip. Once it is sorted out I believe our membership will rise to more than 30 overnight.’
He believes the Amphion project will account for around 70% of output at the Ipswich factory in two years time.
