The total deal value could reach £4.6m if the combined business achieves stretching financial targets over the next five years.

Property consultant Eddisons has strengthened its property auctions division with the acquisition of the UK’s largest auction house outside London, North West-based Pugh & Co, for an initial £2m cash sum.

Established in 1991, £2m turnover firm Pugh & Co came under the control of managing director Paul Thompson in 2014 when he bought out the remaining 50 per cent stake in the business. Hosting auctions in Leeds and Manchester, Pugh & Co offer more lots for sale than any other commercial auction house outside the capital.

The acquisition will see Eddisons’ auction division and Pugh & Co, who together sold over £100m of property at auction last year, run monthly auctions in Leeds and Manchester under the Pugh brand, with a combined team of 36 staff led by Thompson.

Richard Roe, Eddisons managing director, said: “Pugh & Co is the perfect fit for Eddisons’ own property auctions division and together we now have the capacity to run the largest commercial property, residential property and land auctions in the North.

The popularity of auctions as a speedy, transparent and reliable method of buying and selling property continues to grow and this acquisition, of a successful and highly respected auctions business, will be a massive boost to Eddisons’ capability in this area.”

Paul Thompson, managing director of Pugh & Co, said: “It’s great news that our firm is now part of Eddisons. Combining our strengths will enable us to offer an unrivalled service to clients, with an excellent geographic spread and depth of professional expertise and experience.”

The total deal value could reach £4.6m if the combined business achieves stretching financial targets over the next five years.