By Nick Wilson

Capital & Counties, a wholly owned subsidiary of UK-based property company Liberty International, said on Monday it was acquiring 50% of Earls Court and Olympia Group (EC&O) Venues, a company that runs a conferencing and exhibition business out of Earls Court and Olympia.

Speaking from London on Monday, Gary Yardley , chief investment officer for Capital & Counties, said the stake was acquired for £55m. EC&O Venues was a "good operating business".

"We have acquired a big chunk of central London real estate, and we feel confident in the medium and longer term that there will be redevelopment opportunities, which will include the ongoing business as well," he said.

The acquisition of the 50% stake took into account all assets, debt and other liabilities of the business.

Capital & Counties said it valued EC&O Venues at about £375m- £380m. The joint venture partnership between Capital & Counties and shareholders of EC&O Venues would own and manage the Earls Court and Olympia exhibition centres and a brewery with the aim of establishing the venues as landmark leisure destinations centred on the core businesses of exhibitions, conferences and special events.

Yardley said that Capital & Counties was "looking for the right opportunities". Earls Court and Olympia were "ideal opportunities".

Evan Robins, a property analyst at Nedcor Securities, said the market might see Liberty International acting more "adventurously and expansively" through its Capital & Counties division in the future.

Robins said this latest acquisition by the division might be a sign of more group activity to come.

Capital & Counties has been in acquisitive mode over the past year. Its most high-profile acquisition was the Covent Garden retail precinct in London.

Business Day