Apollo in swoop on UK social housing

APOLLO has bought a UK housing group to expand its portfolio of socially responsible investments.

The private equity giant announced a deal to buy United Living, a provider of maintenance and construction services to the affordable housing sector. The deal is due to be completed over the summer.

‘As investment in infrastructure and social housing remains a key priority, we believe the business is well-positioned for further growth,’ said Apollo partner Joanna Reiss.

United Living boss Neil Armstrong said: ‘With Apollo’s resources and significant experience investing across the infrastructure and social housing services markets, we are looking forward to building on our momentum and strategically expanding.’

While the price tag was not disclosed, the transaction had valued Kent-based United at over £300m, people with knowledge of the deal told Bloomberg.

Several private equity firms, including Bain Capital, KKR and Canada’s Brookfield Asset Management, are looking to pump money into socially responsible investments as institutions increasingly focus on targets that can provide environmental or social benefits.

It is not Apollo’s first foray into the property market. It snapped up Edinburgh-based housebuilder Miller Homes last year for more than £1bn.

Earlier this month, New Yorkbased Apollo abandoned plans to buy engineering firm Wood Group after pursuing it for four months.

Several days earlier, Apollo saw online retailer THG terminate takeover talks after the company’s board concluded there was ‘no longer any merit’ in continuing discussions and rejected a buyout proposal.