Miller Homes announces stock exchange floatation
Miller Homes has announced its intention to float on the London stock exchange, in the hope of receiving a valuation in the region of £450 million. The house builder - which is ranked as one of the top ten in the country - will be spun out of parent company the Miller Group as a result of the move. This organisation will continue to operate separately as a mining and development business, with current chief executive officer Keith Miller remaining in place. A target date of late October or early November has been pencilled in for the floatation, which will see at least 40 per cent of the Miller Group's shares in the property construction business sold off. Some £140 million is expected to be raised in order to reduce debt and fund growth - and the board of directors of the company believes there is considerable scope to increase output, should the floatation prove a success. Completions could be bolstered from the current rate of 1,700 a year to 2,750 - and this increase is expected to have very little impact on existing overhead levels. Chief executive officer of Miller Homes Chris Endsor said the floatation could have a beneficial impact on the wider national economy. This is because the focus and knowledge the company has of the local regions in which it operates could aid continued economic recovery in those areas. Mr Endsor noted that this is a particular benefit at the present, as demand for new housing is continuing to expand, supported by favourable macroeconomic conditions and an improving mortgage market.New chairman of Miller Homes Tony Rice said: "I am delighted to have been appointed at such an exciting time in the company's development. "We have a highly experienced and capable executive team and have recruited a strong Board," he continued, adding: "Miller Homes is well positioned to take advantage of the opportunities for growth and the creation of shareholder value in the future."
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