Electra Private Equity sells interests in housebuilders for £94m

FTSE 250 investor Electra Private Equity has sold its interests in housebuilder Cala Group and Retirement Bridge Group, a home reversion equity release provider, to Patron Capital Partners for a combined £94m.

Retirement Bridge was a 50:50 joint venture with Patron after it was carved-out of Newcastle-based landlord Grainger.

Following Electra's termination of its management contract with Epiris, a private equity fund manager, the company said that it was unable to support the business plan for Retirement Bridge, which has lead to the sale.

In 2013 Electra made a £13m investment alongside Patron and Legal & General in the £210m acquisition of Cala from Lloyds Banking Group, and in 2014 Electra increased its investment in Cala to £32m to support land purchases and the acquisition of Banner Homes, an upmarket housebuilder.