Could Persimmon acquire Cala Group in £1bn deal?

One of the UK’s largest housebuilders is said to be considering the takeover of a sector rival, according to national media reports. 

FTSE-100 company, Persimmon Homes could make an offer for Edinburgh-headquartered Cala Group this week which is being auctioned by owners Legal & General (L&G) via Rothschild, reportedly for around £1 billion. 

The news comes ahead of a general election on 4 July, where new housing is expected to be a key battleground for both the main parties vying for power. 

It also follows Barratt Developments’ proposal to acquire Redrow in a £2.5 billion deal, marking another major move in the housebuilding sector. 

Other industry rivals, including Taylor Wimpey, and Avant Homes, could also be considering bids for Cala Group, according to experts who spoke to Sky News. 

If successful, the acquisition would be Persimmon’s largest in years. 

The UK’s third-biggest housebuilder recently said it was targeting up to 10,500 new homes this year; while Cala is aiming to construct 3,000 new homes annually in the long term. 

Persimmon declined to comment on the matter. Legal & General was also approached for a statement.  

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