Miller Group, owner of Miller Homes, is contemplating a possible initial public offering (IPO), says The Financial Times’ property correspondent Ed Hammond.
Miller Group is the UK’s largest privately owned property development and construction company, and the entertaining of such an idea highlights the sentiment that the UK housing market is looking ever-more positive.
City A.M. understands that the company has not yet appointed a bank but approaches have been made and they're looking at all options for growth, not just IPO.
Options for growth could number several as Miller Group has four core businesses: homes, development, construction and mining.
Two weeks ago in its interim report, the group reported a 27 per cent leap in half-year revenues and nine-fold rise in profit to £4m. The Scottish-based company had secured 92 per cent of its buyers for this year, and nearly 75 per cent of its target for 2014.
For the first time in five years the macro-economic picture is beginning to look more positive and the Group is delivering good growth.
We have seen a marked improvement in the housing market during the first six months assisted by the Funding for Lending scheme with further stimulus provided by the Help to Buy scheme, as well as an improvement in the UK mortgage market.