Connells has completed due diligence and reconfirmed its bid to buy Countrywide as it claims the property giant faces ‘significant risks’ as a standalone business.

The Connells Group is looking to pay 250 pence per share, equating to £82m for the well-known business, which is now subject only to Countrywide board recommendation and shareholder support.

In a statement out today, Connells says due diligence revealed that significant capital investment is required for Countrywide in excess of the levels envisaged under the bid from private equity firm Alchemy.

It also claims that Countrywide faces a number of significant risks as a standalone business, including potential to enter administration without a significant capital injection.

Countrywide has lost over £500m pre-tax over the last three years and has been closing branches.

Connells Group chief executive David Livesey says: “Countrywide shareholders have repeatedly been promised jam tomorrow and it has never been delivered. There is no quick and easy fix for Countrywide. Turning the business around, especially in unpredictable market conditions, will be a difficult, expensive and lengthy process.

“Countrywide needs new ownership, not yet another speculative scheme that is based on hope rather than experience. Our proposal gives Countrywide shareholders significant immediate upside in cash, at a 72 per cent premium to the undisturbed price, with none of the downside risks of remaining independent.”