Raven Mount, the Aim-quoted property company, is to buy the private assets of Anton Bilton, one of its Directors.

The all-share deal, worth up to £37m, will see Mr Bilton and his partner Bim Sandhu increase their stake in the company from 26 per cent to 58 per cent.

Mr Bilton will replace James Hyslop as Chairman of the group while Mr Sandhu will become Chief Executive.

The acquisition of the development business, The Raven Group, depends on approval from shareholders at an EGM on December 13.

However, shareholders controlling 45.4 per cent of the Knightsbridge-based company have already approved the transaction.

Raven Group made pre-tax profits of £900,000 on turnover of £8.8m for the year to April 30, at which point it had net assets of £2.5m and total assets of £9.2m.

Raven Mount said it had delegated the negotiation and consideration of the deal to independent Directors, given that it was a "related party transaction".

It had decided that the acquisition was the "best way forward".

The company intends to issue 22.36m new ordinary shares worth £14.5m to pay for the deal. Another £22m of shares could be paid to Mr Bilton, depending on whether certain sites gain planning permission.

Raven Mount shares rose 1/2p to 66 1/2p yesterday.

Mr Bilton is grandson of the late Percy Bilton, the property magnate whose eponymous company was bought by Slough Estates in 1998 for £270m.

Last November Mr Bilton led a hostile takeover of Swan Hill, the luxury housebuilder.

Raven Mount this summer talked to several potential buyers, including British Land. However, Swan Hill's pension fund deficit proved an obstacle to concluding a sale.