Miller Homes in renewed £1.3bn sale or IPO talk
Miller Homes: there has been talk of a sale for months
Speculation around a sale or flotation of Miller Homes has heightened as shareholders seek to cash in on the soaring values of British firms.
Talk of a deal for Miller began in June and has been renewed this weekend with more indications that Blackstone, its private equity owner since 2017, is ready to sell on the back of the strong housing market.
Bridgepoint has appointed Rothschild, the investment bank, to advise on its potential exit from the company.
Miller was set up by the eponymous Edinburgh-based family 87 years ago and expanded into construction and mining. But it came under pressure during the 2008 financial crisis when some family members sold their holdings to HBOS, months before the bank was acquired by Lloyds.
In 2011 US private equity firm Blackstone’s GSO Capital Partners operation took a majority stake to refinance its bank borrowings during a severe squeeze on the housing market.
Bridgepoint paid £655m for Miller in 2017 and should it go ahead with a sale it is likely to double its money in just four years with estimates of a £1.3bn deal. Some suggest Miller could be worth £2bn.
Bridgepoint began life as the private equity arm of NatWest and has acquired some of the High Street’s best-known names, including cafe chain Pret A Manger in 2008 before selling it a decade later.