It follows a Sunday Times report yesterday which stated that MJ Gleeson had put its land trading business up for sale in a deal worth £130m.

MJ Gleeson this morning announced: “The Board of MJ Gleeson plc notes the recent press speculation and confirms that it has appointed Lazard to explore and advise it on a range of options for Gleeson’s Strategic Land business.  During the course of this review, a number of third parties have expressed interest in the possibility of acquiring Strategic Land; it is possible that a sale of the business may ensue, but it is by no means certain that this will be the outcome of the review.”

Gleeson’s Strategic Land division is a land promotion business that enhances the value of land by securing mainly residential planning consents, predominantly in the South of England. The business’s portfolio comprises 59 sites which could deliver 22,232 plots and 67 acres of commercial land.

In February, MJ Gleeson reported strong half-year results, with pre-tax profits soaring 62% to £22m and revenues increasing 52% to £118m. Reporting on the six-month period to December 31 2018, the firm said its pre-tax profits rose 62% from £13.7m in 2017 to £22.3m in 2018 and revenues rose 52% from £77.4m to £118.3m for the same period.

The half-year results showed that Gleeson Strategic Land recorded the sale of three sites in the period (H1 17/18: three sites), with planning consent for the residential development of a total of 483 plots (H1 17/18: 133 plots). Revenue increased £26.6m to £30.3m (H1 17/18: £3.7m), reflecting the larger size of the three sites sold. Gross profit increased £7.2m to £10.3m (H1 17/18: £3.1m). Operating profit increased £6.7m to £9.0m (H1 17/18: £2.3m).

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