Internal review

Purplebricks delays H1 data amid claims expectations

Purplebricks

Purplebricks expects claims

Share in online estate agency Purplebricks Group plunged 20.89% (6.6p) to 24.8p after it revealed potential exposure to millions of pounds in claims and delayed Tuesday’s half-year results.

The AIM-quoted firm’s shares have already taken a hammering after it warned the market of worse-than-expected figures on the back of challenging trading conditions.

Today it said the results would be delayed after an internal review discovered a “process issue in how it has been communicating with tenants on behalf of its landlords in relation to deposit registrations”.

It added: “Further enquiries into this matter are currently being conducted and the communications process is now being corrected.”

It felt it would be “prudent” to provide for any future claims, which could be brought under the Housing Act, and is suggesting a potential financial risk of between £2m and £9m.

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