Darnton EGS is the result of the merger between Darnton Elgee of Leeds and Essex, Goodman and Suggitt (EG&S) of London, two long-standing practices.

The new company has a turnover of £6m and will have its headquarters in Leeds. It will operate throughout the UK and internationally.

Both firms have major blue-chip clients from the retail sector on their books.

Former Darnton Elgee managing partner Alistair Hamilton has become Darnton EGS managing director and EG&S managing director David Suggitt is chairman.

Mr Hamilton said: "This merger creates a major new national practice providing built-environment consultancy services with more staff, broader expertise and better geographical coverage.

"Darnton EGS will provide added value and greater agility to meet our clients' needs and better career opportunities for staff.

"Launching Darnton EGS takes us into the critical size bracket among British architects with whom 85 per cent of UK architectural and project management work is placed."

Mr Suggitt said all parties are excited about what lies ahead.

He added: "We have worked on significant projects as a relatively small practice for some time and have sought a step change by becoming part of a larger operation.

"Both businesses operate in retail and have added expertise to bring to Darnton EGS."

The new company has seven directors, more than 87 staff and regional offices in London, Bristol and Warwickshire.

Darnton Elgee, a partnership with 65 staff in offices in Leeds and Bristol, was founded as Kitching and Co in Teesside in 1900.

The current practice, which provides architectural design and project management, was created from a de-merger from a North East practice in 1992 and has grown consecutively for the past 12 years.

The practice operates extensively in the retail sector supporting blue-chip clients including Asda, Marks & Spencer, Tesco, Dixon Stores Group, Somerfield, the Co-op, WH Smith and Farm Foods.

Other work includes a project in the Middle East for Pan Emirates Home Stores. EG&S, founded in Birmingham in 1883, has 22 staff, three directors and three associates, operating out of offices in London and Warwickshire and works substantially in the retail sector for clients including supermarket giant Sainsbury's.

The practice has specialist health and safety design expertise and is estate architect for the Royal College of Music and several private hotel groups.


HOW THE MERGER WAS BROKERED

The deal was brokered by accountants and business advisers JWPCreers and
UK top 50 law firm Dickinson Dees LLP, both of York.

Alistair Hamilton said: "We have been well advised by Tony Farmer, the corporate finance partner at JWPCreers, and by the legal team at Dickinson Dees."

Mr Farmer said the merger was good news in a tough time for the property industry.

He added: "These two practices are a very good fit . Both have independently increased their market share in the current harsh climate and this merger will take them to a whole new level."

Funding was through Co-operative Bank at Leeds.