Private equity firm Bridgepoint has acquired Miller Homes, one of the largest housebuilders in the UK, from GSO Capital Partners in a £655 million deal.
Miller Homes was established in 1934 and operates in areas outside London and the South East, with three divisions covering Midlands and the South of England, the North of England and Scotland.
The business focuses on building sustainable developments on the edge of urban or suburban areas, typically within 45 minutes of the nearest largest town or city.
In 2016 Miller Homes completed a total of 2,380 homes and for the year to 31 December 2016 reported a 13% increase in revenue to £565 million and a 31% increase in operating profit to £103 million.
GSO Capital Partners, the credit arm of US private equity firm Blackstone credit platform, took over Miller Homes in 2012 in a debt-for-equity swap.
Jamie Wyatt, partner at Bridgepoint, said: "The UK regional markets in which Miller operates are in good health with a positive sales environment and an attractive land buying market. 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."
Chris Endsor, chief executive of Miller Homes, added: "2016 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. 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."
The investment in Miller Homes was made by Bridgepoint Europe V, a €4 billion pan-European middle-market fund.