The Courier & Advertiser (Fife Edition)
Housebuilder Miller bought out for £655m
Private equity firm Bridgepoint moves to snap up Scottish capital-based construction group
Private equity group Bridgepoint has completed the £655 million takeover of major Scottish housebuilder Miller Homes.
Speculation about the future of the GSO Capital Partners-owned group – one of the UK’s largest housebuilders – had mounted in recent days.
The change of ownership has now been confirmed after funds were released by Bridgepoint Europe V, a €4 billion pan-European middle-market fund.
“The UK regional markets in which Miller operates are in good health with a positive sales environment and an attractive land buying market,” Bridgepoint partner Jamie Wyatt said.
“Miller’s strategic position within those markets combined with its historic robust financial performance position it well to address future growth in the UK new build housing market where demand currently outstrips supply.”
The Edinburgh-based group completed 2,380 new homes at its development sites across Scotland and England last year, including at Ashludie Grange at Monifieth and Regents Gate at Crossgates in Fife.
Total revenues for the year to December 31 came in at £565m – a 13% uplift on the prior year – while operating profits for the period topped £103m.
Miller Homes chief executive Chris Endsor said he looked forward to a new era for the business.
“Last year was an outstanding year for Miller Homes delivering operating profit in excess of £100m for the first time and outperforming on all key financial metrics for the fifth consecutive year,” Mr Endsor said.
“We fully expect 2017 to continue that upward trend. GSO have been a great supporter of our business and I look forward to welcoming Bridgepoint as our new shareholder as we undertake our next phase of growth, in an ongoing favourable macro-economic climate for UK housebuilding.”
Michael Whitman, senior managing director at GSO Capital Partners, said: “We are delighted with the significant growth Miller has achieved since GSO’s investment in 2012.
“We are proud of both the exceptional management team and all employees.
“We wish the company great success in the future with Bridgepoint.”
Miller was first established as a business in 1934.