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Gordon Dadds acquires Bristol-based solicitors Metcalfes
Acquisitive law firm Gordon Dadds has snapped up Bristol-based solicitors firm Metcalfes Solicitors.
AIM-quoted Gordon Dadds acquired Metcalfes for a total basic consideration of £2m, payable in cash over a five year period, with additional consideration to be made in the event that fees generated by the firm exceeded £20m by 2023.
The acquisition, funded entirely by existing cash resources, is part of Dadds' plan to grow its existing business through "opportunistic, attractively valued deals" and that Metcalfe would "provide significant cross-selling opportunities" across divisions.
The acquisition is expected to be "significantly" earnings enhancing in the first full year to 31 March 2019.
Adrian Biles, chief executive officer of Gordon Dadds, said, "We are confident that the enlarged business can be developed into a significant as well as a respected and highly profitable business under the leadership of Anthony Heath and his team."
The deal closely follows the group's January acquisition of White & Black, a specialist technology solicitors firm, and Biles said he had a strong acquisition pipeline that should provide further earnings-enhancing deals.
As of 1000 GMT, shares had gained 8.77% to 167.50p.