BrightHouse IPO plans hit turbulence over MP inquiry

 
Michael Bow
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IPO plans by rent-to-own company Brighthouse have been called into question by MPs (Source: Getty)
The listing of shares in rent-to-own retailer BrightHouse was left in limbo yesterday after a fresh parliamentary inquiry into the group cast doubt on the firm’s ability to attract investors.

A group of MPs, under the auspices of the All-Parliamentary Group on Debt and Personal Finance, will investigate rent-to-own outlets like BrightHouse, sparking concerns the probe may scupper the group’s float plans.

BrightHouse had been working with Rothschild on plans for an initial public offering of shares this year. A float plan is understood to still be on track, but a timetable – which would traditionally include a schedule to meet investors and sound out analysts – has not been drawn up. BrightHouse is chaired by the former managing director of Woolworths Leo McKee and is majority controlled by private equity firm Vision Capital.

Labour MP Yvonne Fovargue, who chairs the group looking into BrightHouse, will look at whether customers get “a good deal”.

BrightHouse said: “Our customers choose to shop at BrightHouse because they value our range of top quality products for the home, our affordable weekly payments and the personal service we offer in nearly 300 communities across the UK.”

Rothschild declined to comment.

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