Walsall's HomeServe buys US firm for £52.3m

Walsall-based home assistance business HomeServe is buying a United States company for £52.3 million.

Utility Service Partners, which has its head office in Pennsylvania, has more than 300 partners across the US and Canada.

HomeServe said it was its largest single step in US expansion increasing the number of households covered by 9.4m to more than 40m.

Completion of the deal is expected within three to four months following regulatory approvals.

USP, founded in 2003, is a leading provider of home assistance service line repair contracts through partnerships with a number of municipalities and utility companies.

It is also the only warranty company partner of the National League of Cities, an organisation dedicated to helping city leaders build better communities. It covers 19,000 cities, towns and villages across the United States.

HomeServe will continue to manage USP from its current headquarters in Pennsylvania.

Richard Harpin, group chief executive of HomeServe, said: "I am delighted with the progress of our business in the US, which now accounts for over a third of our global customers. This is the largest acquisition that we have made since entering the US market in 2003 and will accelerate our growth, both in the US and the group."

HomeServe will announce its preliminary results for the year to the end of March on May 24.