Technology business raises £50m to crack America

Michael Bruce
Online estate agent Purplebricks has raised £50m to fund its launch into the United States as it continues to build towards its “global future”.
Chief executive Michael Bruce believes Purplebricks can “build a significant business in what could be one of the most fascinating and rewarding real estate markets in the world”.
The American real estate market generates $70bn (£55bn) in commission each year and the Solihull-based group plans to quickly build a presence in the United States.
“Our customer proposition of high quality service and value, delivered through the combination of technology and people, is driving irreversible change in the UK and Australian markets,” said Bruce.
“As with our UK and Australian launches we will adopt a state-by-state roll out strategy. The funds raised through the Placing will not only be deployed to build the Purplebricks brand in the US but, also, the people and infrastructure needed to manage rapid growth in that market.”
The group, which floated on the Alternative Investment Market at the end of 2015, raised £50m through the placing of 22.7m shares at 220p.
The share price has rocketed in the last three months, having been at 105p at the start of December.

Zeus Capital, Peel Hunt and Investec Bank acted as joint bookrunners on the placing.

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