Stephens-linked firm to buy two companies.(REAL ESTATE)(Company overview)

Buyers Protection Group Inc., an Atlanta-based real estate services firm partially owned by the Stephens Group LLC, has agreed to buy two subsidiaries from LandAmerica Financial Group Inc.

The acquisition is subject to regulatory approval and is expect ed to close later this summer.

The Stephens Group, a private equity investment firm headquartered in Little Rock, owns a majority interest in BPG, according to a news release issued by BPG.

LandAmerica Home Warranty Co., founded in 1987, provides one-year home warranties in 30 states, concentrating on Arizona, California and Texas. LandAmerica Property Inspections Inc., begun in 2001, is now the nation's largest employee-based inspection company, the release said. It provides residential and commercial inspections in 14 states. Both companies will change their names after the purchase is completed.

BPG was formed to support the management team and employees in buying the companies from LandAmerica. When the transaction closes, BPG will have more than 250 employees and will have operation centers in Burbank, Calif., and Alpharetta, Ga.

"The company plans to implement a controlled expansion strategy leveraging the existing footprint of the two businesses," the release said.

"We believe the home warranty and inspection businesses are both solid companies with great reputations," said BPG President and CEO Revell Fraser. "We are well positioned to leverage our passion, focus and financial strength to deliver distinct value and growth as an independent company."

"Both businesses have remained profitable and service-oriented during an extremely difficult downturn," said Robert Covington, a principal at the Stephens Group. "Their strong business ethics and proven ability to execute a well-developed strategy will drive even more success as the housing market begins to normalize."

BPG provides home warranties, home inspections, commercial and multifamily inspections, reserve studies, property disclosure reports, radon testing and monitoring and pest inspections.

The Stephens Group is headed by co-chairmen Witt Stephens Jr. and his sister, Elizabeth Stephens Campbell. The company, through its affiliates, has large investments in energy services, gas exploration and production, media, communications and consumer, manufacturing and other industries. The Stephens Group typically provides equity capital of $10 million to $75 million per transaction and looks to invest $100 million to $200 million per year, the release said.

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