Knights Group buys THP Solicitors for £4 million in Thames Valley expansion

Knights Group Holdings PLC has agreed to acquire Thames Valley law firm THP Solicitors Limited for £4 million, adding around 30 fee earners and strengthening its Private Wealth, Family and Real Estate practices.

The acquisition follows Knights' purchase of IBB Law in 2025 and gives the group additional scale in Reading and the wider Thames Valley. THP's staff are expected to move into Knights' recently refurbished Reading office following completion.

Strategically, the deal appears straightforward. Knights is buying a well-established regional firm whose services complement its existing Reading operation, while making greater use of office space that the group already occupies.

However, Knights has not disclosed THP's revenue, profit or expected contribution to group earnings. That leaves investors unable to judge the acquisition valuation or likely financial return from the information provided.

Knights' THP acquisition at a glance

Detail	Disclosed figure
Total consideration	£4 million
Initial cash payment	£2.4 million
Deferred consideration	£1.6 million
Fee earners joining Knights	Approximately 30
Expected completion	25 September 2026
Funding	Existing banking facilities
THP locations	Reading and Henley
THP trading history	More than 35 years

Knights will acquire THP on a cash- and debt-free basis, subject to working-capital adjustments. This means the agreed price assumes THP transfers without surplus cash or financial debt, with the final amount potentially adjusted to reflect normal short-term business assets and liabilities.

The £2.4 million initial payment is due on completion. The remaining £1.6 million will be paid in equal instalments on the first, second and third anniversaries, subject to certain conditions being met.

The original company announcement states that completion is expected on 25 September 2026.

What THP adds to Knights Group

THP, originally known as The Head Partnership, has operated in the Thames Valley for more than 35 years. Its current owners acquired the business approximately 16 years ago.

The firm provides services across several legal practice areas, with particular strengths in Private Wealth, Family and Real Estate. These areas should broaden Knights' Reading offering, which the group says has so far been weighted towards Business Services.

That balance matters. Private Wealth work covers legal services for individuals and families, potentially including matters such as estates and succession, although the announcement does not provide a detailed service breakdown. Combining private client expertise with business-focused legal services should allow Knights to serve a wider range of needs within the region.

THP also brings a local client base and around 30 fee earners. Fee earners are legal professionals whose work generates revenue for the firm. Knights has not disclosed THP's total employee count or how much revenue these professionals currently generate.

A bolt-on acquisition rather than a new regional launch

This is not Knights' first step into the Thames Valley. The group expanded in the region through its acquisition of IBB Law in 2025, making THP a bolt-on deal rather than an entry into a completely new market.

Bolt-on acquisitions involve adding a smaller, complementary business to an existing operation. They can be easier to integrate than acquisitions that require a buyer to establish new offices, management structures and infrastructure from scratch.

Knights intends to bring THP's colleagues together with its existing staff in the group's refurbished Reading office. THP's current offices in Reading and Henley will then be vacated.

This should allow Knights to make fuller use of existing office space and may avoid the need to maintain duplicate locations. Management expects the move to support quick and effective integration, although no cost savings or integration expenses have been quantified.

The deal continues the expansion strategy seen in Knights' earlier acquisition of Birkett Long and the acquisition-led growth discussed alongside its 2026 full-year results.

Why the acquisition could be positive

The clearest strategic benefit is the fit between the two firms. THP adds expertise in practice areas that are currently less prominent within Knights' Reading operation, rather than simply duplicating the existing service mix.

There are several potential positives for investors:

• Greater regional scale: Approximately 30 fee earners will join Knights in an area where it already has a presence.
• A broader service offering: THP strengthens Private Wealth, Family and Real Estate capabilities alongside Knights' existing Business Services work.
• Use of existing infrastructure: Moving THP staff into Knights' Reading office could make better use of recently refurbished space.
• Staggered payments: Only £2.4 million of the £4 million consideration is payable on completion, with the balance spread across three years and subject to conditions.
• Local operating history: THP has served the Thames Valley for more than 35 years and brings an established reputation and client base, according to the announcement.

The relatively focused nature of the transaction may also support integration. Knights is combining teams in an office it already operates, within a region where it expanded during the previous year.

What investors still need to know

The main weakness in the announcement is limited financial disclosure.

Knights has not provided THP's revenue, operating profit, cash generation or recent growth rate. It has also not disclosed an expected earnings contribution, integration costs, cost savings or a target return on the £4 million consideration.

Without those details, investors cannot calculate common acquisition measures such as the price-to-revenue or price-to-profit multiple. It is therefore possible to understand the strategic logic, but not to determine whether Knights is paying an attractive financial price.

Funding is another point to monitor. The cash consideration will come from Knights' existing banking facilities, which means the acquisition will use available borrowing capacity rather than being funded through newly issued shares. The announcement does not state how the deal will affect net debt, interest costs or financial headroom.

Execution still matters as well. Moving colleagues from two offices into a single Reading location may simplify the property footprint, but legal services businesses depend heavily on retaining skilled professionals and client relationships. The announcement does not include staff retention arrangements or specific financial conditions attached to the deferred payments.

The key test is profitable integration

The THP acquisition fits Knights' established approach of building scale in regional legal markets through targeted purchases. It deepens the group's Thames Valley presence, adds approximately 30 fee earners and fills gaps in the Reading office's service mix.

The strategic case is credible, particularly because Knights already has regional infrastructure and intends to consolidate the teams into existing office space. The staged consideration also limits the amount payable immediately.

For investors, though, the missing financial information is significant. Revenue, profit, acquisition multiples and expected earnings benefits were not disclosed. Attention should now turn to completion, colleague retention and future reporting on THP's contribution to Knights' growth, margins and debt position.