Hybrid online estate agency Purplebricks is expected to start trading on the Stock Exchange on December 17.
It has already raised £58.1m from an institutional placing and is expected to be admitted to AIM - the Alternative Investment Market - with a market capitalisation of £240.3m.
The new investment this will attract will, the firm says, be used to “further deepen the national footprint, particularly in London and Scotland”, increase awareness of the company’s profile and brand, invest in technology and software, incentivise and attract employees and provide senior figures in the company “with a partial realisation of their investment.”
"The Purplebricks team have dedicated four and a half years to develop and establish a model which is designed to change the way we sell, buy and let residential property. We have a compelling customer proposition of a low flat fee combined with a high quality and personalised service, underpinned by our proprietary technology platform” says Michael Bruce, Purplebricks chief executive.
“The business model is disruptive and has allowed us to establish Purplebricks as a nationwide agency at a lower investment than a traditional agency, with a more flexible cost structure which supports the sustainability of our pricing strategy” he says.
Star fund manager Neil Woodford will remain the largest shareholder following the flotation with a 28.7 per cent stake worth held by Woodford Equity Income, his business. The stake is estimated to be valued at around £73m.