Zentra Group plc: Formation of Property Management Joint Venture
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Zentra Group plc (ZNT)
ZENTRA GROUP PLC Formation of Property Management Joint Venture Zentra Group PLC (AQSE: ZNT), the Manchester-based residential developer, development manager and property manager focused on the North of England, is pleased to announce that it has entered into a joint venture with experienced property management professional Connor Moylan to enhance the Group’s Assured Shorthold Tenancy (“AST”) lettings and property management capability through a new subsidiary, ZPAS Limited (“ZPAS” or the “JV Company”). The Group already provides residential lettings and property management services through its existing subsidiary, Zentra Property Services Limited. The formation of ZPAS is intended to improve the scalability, operational focus and quality of the Group’s AST lettings and management activities, while avoiding the addition of senior fixed overhead at Group level. The JV does not replace the existing property services offered by the Group, which will continue to operate alongside the JV. Under the terms of the joint venture, Zentra will hold 51% of the ordinary share capital of ZPAS, with Connor Moylan holding the remaining 49%. Zentra will retain board and governance control, with Jason Upton, Zentra Group PLC Chief Executive Officer, acting as Chair. Connor will be responsible for the day-to-day operations of the JV business. ZPAS will provide AST lettings, property management and associated after-sales services across approximately 84 existing units currently under the management of Zentra Property Services Limited, together with future instructions. Block management on completed Zentra developments is expressly excluded from the scope of the JV. Following an initial transition period, during which existing Group staff will support the JV, ZPAS is expected to operate as a standalone business. Net profits will be shared 51% to Zentra and 49% to Connor, with dividends declared at Zentra’s discretion, subject to working capital and performance considerations. The Board believes that the JV structure represents a capital-efficient way to strengthen service standards, grow recurring fee income and retain control over customer relationships and data, while aligning incentives between the Group and the operating partner through appropriate governance and performance protections. Background on Connor Moylan Connor Moylan is a Manchester-based property management professional experienced in residential lettings and management. He is an active director of Empanda Properties Ltd and Entire Spaces FM Ltd, where he has focused on improving occupancy levels, controlling arrears, increasing renewal rates and strengthening operational compliance. The Board considers his experience well aligned with the objectives of ZPAS and the Group’s broader property management strategy. Commenting on the JV, Jason Upton, Chief Executive Officer of Zentra, said: “Property management is already an established part of the Group’s offering. The formation of ZPAS allows us to strengthen that capability by introducing a more focused, specialist operating structure, while retaining governance, customer relationships and data at Group level. We believe this is a capital-efficient way to improve service quality and grow recurring fee income without adding senior fixed overhead.” Connor Moylan commented: “I’m pleased to be joining the team at Zentra and to be part of the next stage in the Company’s journey. Property management is already an important part of the Group’s offering, and my focus will be on building on that foundation by delivering a consistent, hands-on lettings and management service that improves outcomes for residents, landlords and the Group.” Contacts Zentra Group plc Nick Courtney Guild Financial Advisory Limited (AQSE Corporate Adviser) Ross Andrews Email: ross.andrews@guildfin.co.uk Tel: +44 (0)7973 839767 Tomas Klaassen Email: tomas.klaassen@guildfin.co.uk
Hybridan LLP (AQSE Corporate Broker) About Zentra Group plc For further information, please visit the Company’s website at www.zentragroup.co.uk.
Dissemination of a Regulatory Announcement that contains inside information in accordance with the Market Abuse Regulation (MAR), transmitted by EQS Group. The issuer is solely responsible for the content of this announcement. View original content: EQS News |
| ISIN: | GB00BLF79495 |
| Category Code: | UPD |
| TIDM: | ZNT |
| LEI Code: | 2138008ZZUCCE4UZHY23 |
| Sequence No.: | 414448 |
| EQS News ID: | 2258066 |
| End of Announcement | EQS News Service |
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