Elgin-based housebuilder Springfield Properties said on Friday it completed the acquisition of Livingston-based Walker Group for up to £31 million.

Springfield is building a number of new towns and villages throughout Scotland.

Springfield shares rose about 6% to around 124p to give the firm a stock market value of almost £120 million.

Springfield executive chairman Sandy Adam said: “The acquisition has enabled us to diversify our land bank with sites at various stages of planning and development in East Central Scotland, where we have been looking to strengthen our foothold.

“We are pleased to have efficiently delivered a large proportion of our land-buying plans for the wider Edinburgh area, adding 10 sites to our land bank in one deal rather than with multiple individual deals.

“Walker’s active sites bring an immediate sales presence in new locations and the sites in the pipeline further strengthen our land bank and enhance our quality of earnings.

“The acquisition of Walker supports Springfield’s growth aspirations with land and skilled employees.

“It enables us to deliver housing more widely across Scotland at a time when supply continues to fall well short of demand and average house price growth in Scotland is ahead of the rest of the UK.

“Interest rates are low, mortgage availability is good, barriers to new entrants are high and Springfield is well positioned to benefit.”