Belvoir Group PLC Financial Services Growth (5581S)
November 07 2019 - 1:00AM
UK Regulatory
TIDMBLV
RNS Number : 5581S
Belvoir Group PLC
07 November 2019
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS DEFINED IN
ARTICLE 7 OF THE MARKET ABUSE REGULATION NO. 596/2014 ("MAR")
7 November 2019
BELVOIR!
BELVOIR GROUP PLC
(the "Group", "Company" or "Belvoir")
Financial Services Growth
and
New Exclusivity Agreement
Belvoir Group PLC (AIM:BLV), the UK's largest property
franchise, is pleased to provide the following update on the good
progress being achieved within its financial services division, and
to announce a new exclusivity agreement with Dacre, Son &
Hartley Limited ("Dacres"), one of the north of England's largest
independent estate agents.
Financial Services
In 2016 the Board identified financial services as a good means
of diversification and a valuable additional revenue stream for
both its franchisees and for the Group as a whole. At that time the
Group had 13 financial advisers supporting around 20 of its Newton
Fallowell offices operating under the Mortgage Advice Bureau
("MAB") umbrella and contributing GBP144,000 to the Group's 2016
gross profit.
Following the acquisition of Brook Financial Services Ltd
("Brook") in July 2017 and MAB (Gloucester) Ltd ("MAB Glos") in
November 2018, the Belvoir Group now has 160 advisers operating
across the North, the South West, the Midlands and Wales. In the
ten months to October Belvoir's financial services division has
written 7,961 mortgages, recruited net 37 advisers (up 30% from
December 2018) and contributed GBP1.9 million of gross profit to
the Group's performance.
The Board's strategic objective is to increase both its
geographical coverage of financial services across the UK and its
market share in existing territories. This will be achieved through
the recruitment of additional financial services advisers to work
with both independent estate agencies and our Group franchisees who
will provide introductions to their clients.
New Exclusivity Agreement
Belvoir is delighted to announce that it has entered into an
eight-year exclusivity agreement with Dacres, a 20 office estate
agency network based in Yorkshire, to deliver financial services to
their extensive client base. Belvoir believes that, with the right
systems in place, the Dacres network could support an increase from
its current four advisers to ten over the next two years. As a
result, the agreement is expected to contribute around GBP100,000
to the Group's operating profit in its first full year of
operation.
Dorian Gonsalves, CEO, commented;
"Our diversification into financial services is proving to be a
real win-win for the Group with growth arising from working with
both our networks and independent agents. We are really excited to
be taking on the financial services for Dacres. Our financial
services team based in Barnsley is well placed to support their
network and is looking forward to working closely with their
offices to build up the level of mortgage sales delivered to their
clients."
Patrick McCutcheon, Residential MD of Dacres, commented;
"Following a strategic review of our financial services offering
undertaken in the spring of this year, we identified the financial
services arm of Belvoir Group PLC as being a service provider with
whom we would be very keen to work. We believe that their
management share our values on customer service and growth, and can
deliver what we require to satisfy our own internal needs as well
as those of our valued customers. We are looking forward to
engaging fully and working with the Belvoir Group team to drive our
mortgage proposition to even greater heights."
For further details:
Belvoir Group PLC 01476 584900
Dorian Gonsalves, Chief Executive Officer investorrelations@belvoirgroup.com
Louise George, Chief Financial Officer
www.belvoirgroup.com
finnCap
Julian Blunt & Teddy Whiley (Corporate Finance)
Tim Redfern (ECM)
www.finncap.com +44 (0) 20 7220 0500
Buchanan +44 (0) 20 7466 5000
Charles Ryland, Victoria Hayns & Tilly
Abraham
Notes for editors:
About Belvoir Group PLC
Founded in 1995 and listed on AIM in 2012 (BLV.L), Belvoir
operates a nationwide property franchise group with 372 offices
across four brands specialising in residential lettings, property
management, residential sales and property-related financial
services. With its Central Office in Grantham, Lincolnshire, the
Group manages over 64,650 properties and reported record revenues
of GBP13.7m in 2018 making Belvoir the largest property franchise
group in the UK.
For further information, please visit: www.belvoirgroup.com
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END
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