The chief executive of property agency Lambert Smith Hampton has agreed to buy the company with two of his fellow directors.

Mark Rigby will own the company alongside chairman Bruce Brown and national head of investment Ezra Nahome after agreeing terms with consultancy WS Atkins plc.

The deal, which is backed by Bank of Scotland Integrated Finance, is worth £46.5 million. On completion, £40 million will be paid in cash with the balance satisfied through the issue of a vendor loan note, which will be interest free for three years.

The terms of the transaction include a potential £10 million earn-out, which is conditional upon the financial performance of the acquired business in the year to April 2008.

The disposal is part of Atkins’ strategy of focusing on its core activities with the proceeds to be re-invested in the business. Atkins expects to make a £20 million profit from the sale assuming no additional payments are made under the terms of the earn-out.

The deal is scheduled to complete at the end of the month if regulatory approval is granted.

Lambert Smith Hampton has some 950 employees working in a network of offices across the UK and Ireland. In the 12 months to April this year it generated revenues of £81.8 million with a profit before tax of £9.3 million, up from £4.9 million the previous year.