World Library  
Flag as Inappropriate
Email this Article

Beazer

Article Id: WHEBN0035368591
Reproduction Date:

Title: Beazer  
Author: World Heritage Encyclopedia
Language: English
Subject: William Leech PLC, Construction industry of the United Kingdom, Mowlem, Pittsburgh/On this day/June 17, Corporate raid
Collection: Housebuilding Companies of the United Kingdom
Publisher: World Heritage Encyclopedia
Publication
Date:
 

Beazer

Beazer
Industry Construction
Housebuilding
Fate Acquired
Successors Hanson plc
Defunct 2001
Headquarters Bath, Somerset
Key people Victor Benjamin, (Chairman)
Dennis Webb, (CEO)

Beazer was a family business for six generations[1] before expanding in the 1980s into international housing, construction and building materials group. After becoming overburdened with debt it was rescued by Hanson plc in 1991. A new Beazer Group, comprising solely the UK housebuilding business, was demerged from Hanson in 1994, and bought by Persimmon plc in 2001.

Contents

  • History 1
    • Early Days 1.1
    • The Acquisition Years 1.2
  • References 2

History

Early Days

The six generations mentioned above can easily be traced with the help of the


  1. ^ a b c d C.H.Beazer (Holdings) Prospectus, July 1973
  2. ^ a b Cyril Beazer, Random Reflections of a West Country Master Craftsman (1981)
  3. ^ a b c d e Wellings, Fred: Dictionary of British Housebuilders (2006) Troubador. ISBN 978-0-9552965-0-5
  4. ^ Prospectus March 1994
  5. ^ Acquisition Document February 2001

References

Beazer Homes USA was also sold by Hanson and it remains a quoted, albeit troubled, quoted company.

The Beazer solution was to float off Beazer Europe leaving the US operations as a separate business. While the pathfinder prospectus was still being circulated, Beazer received a rescue bid from Hanson plc. Hanson’s interest was in the building materials part of Beazer and it quickly sold the Kier construction business. In contrast, Beazer’s housing was held through the recession and a new Beazer Group, now consisting solely of UK housebuilding, still the fourth largest in the UK, was floated in 1994.[4] This Beazer mark 2 made its own modest acquisitions and by the end of the 1990s it was producing around 8,000 houses a year. At the end of 2000, Beazer Group and Bryant Homes proposed a “merger of equals” but this was overtaken by a bid for Bryant from Taylor Woodrow. [3] This left Beazer exposed and in 2001 it was acquired by Persimmon plc for £610m.[5]

In 1986, Beazer bought the Dallas-based Gifford Hill, the fourth largest cement producer in the USA, for £190m. This was quickly followed by the purchase of Koppers for $1.8 billion cash. Koppers was the second largest aggregates business in the USA but it also had a long-standing chemical and wood treatment business with what proved to be significant environmental liabilities. The Beazer group was now financially highly geared and had to face both the world wide property recession and increasing environmental liabilities – the 1989 accounts contained a provision of over $500m, and rising. [3]

Also in 1985 Beazer made its first foray into the USA with the purchase of a small housebuilder. A failed attempt to buy the UK’s largest scaffolding company was followed by the hotly contested purchase of French Kier, a large domestic and international contractor. This was complemented by the acquisition of contracting businesses in Hong Kong and Australia. But all this was to be overshadowed by Beazer’s next steps in the USA. [3]

In 1979, Beazer bought the Somerset firm of R.M.Smith, doubling housing output to around 500 a year. Further acquisitions included housebuilders Monsell Youell and Second City Properties; the property developer M.P.Kent; and brick manufacturer Westbrick. By 1984, Beazer had become a volume housebuilder with output of over 2,000 a year. This was doubled the following year with the purchase of William Leech, taking Beazer to number four in the industry. [3]

The local firm of Mortimer & Sons, of similar size to C.H. Beazer, was bought, its general construction business complementing what had become Beazer’s predominant private housebuilding. [1] In 1971, Beazer made a leap from what had been a predominantly south-west firm by developing a commercial property site in Brussels. Within two years it had property developments in Belgium France and Germany as well as seven schemes in the U.K. [1] Supported by those development profits, in July 1973 C.H. Beazer (Holdings) was floated on the London Stock Exchange, barely months before the onset of the first major post-war recession. Profits fell, there were property write-downs and the dividend was cut in 1976. The years that followed were ones of consolidation before the acquisitions began again at the end of the decade – only this time they were on a much larger scale.[3]

The Acquisition Years

The early post-war period continued to be dominated by war damage reconstruction in Bath, but the business gradually extended to new build and to the counties around Bath. Reflecting the increased size of the business, C H Beazer (Construction) was incorporated in 1956; Cyril’s eldest son, Ralph, joined as a director and the younger brother Brian became a director in 1960. In the event it was Brian Beazer who took over as managing director in 1968 and it was he who turned this small Bath company into an international construction group.[1]

Jesse had eight children but only one son – Cyril H Beazer (1908-1983). Cyril started working for his father at the age of 13, but work was scarce and Cyril later moved to Bath to work for local firms, becoming a mason himself and then a general foreman. In partnership with a local businessman who owned a small plot of land, Cyril built two houses and thus began the building business that was to bear the name C.H.Beazer. During the 1930s Cyril employed no more than a few men and, in World War II was mainly involved in war damage repair work in Bath; until 1944 when he and his men were directed to undertake similar work in London.[2]

[2]

This article was sourced from Creative Commons Attribution-ShareAlike License; additional terms may apply. World Heritage Encyclopedia content is assembled from numerous content providers, Open Access Publishing, and in compliance with The Fair Access to Science and Technology Research Act (FASTR), Wikimedia Foundation, Inc., Public Library of Science, The Encyclopedia of Life, Open Book Publishers (OBP), PubMed, U.S. National Library of Medicine, National Center for Biotechnology Information, U.S. National Library of Medicine, National Institutes of Health (NIH), U.S. Department of Health & Human Services, and USA.gov, which sources content from all federal, state, local, tribal, and territorial government publication portals (.gov, .mil, .edu). Funding for USA.gov and content contributors is made possible from the U.S. Congress, E-Government Act of 2002.
 
Crowd sourced content that is contributed to World Heritage Encyclopedia is peer reviewed and edited by our editorial staff to ensure quality scholarly research articles.
 
By using this site, you agree to the Terms of Use and Privacy Policy. World Heritage Encyclopedia™ is a registered trademark of the World Public Library Association, a non-profit organization.
 


Copyright © World Library Foundation. All rights reserved. eBooks from Project Gutenberg are sponsored by the World Library Foundation,
a 501c(4) Member's Support Non-Profit Organization, and is NOT affiliated with any governmental agency or department.