The deal sees Miller Homes acquire 19 live sites, totalling around 3,500 plots for new homes, and a further five strategic sites, growing its business in the West Midlands, East Midlands and South regions and entering the Southwest for the first time.
St Modwen Homes, acquired by Blackstone in Auguist 2021, has yet to file its accounts for 2023 but in the year to 31st December 2022 it turned over £368m from the sale of 1,313 homes and made a pre-tax profit of £5.4m
Miller Homes, owned by Apollo Global Management, turned over £1.0bn in 2023 with 3,475 completions and made a pre-tax profit of £149.7m.
Miller Homes said that that acquisition was in line with its growth strategy and would help it to meet its medium-term target of building 6,000 homes a year. It will continue to operate the business under the St Modwen Homes brand, and it will establish a new regional office in the Southwest of England.
Miller Homes chief executive Stewart Lynes said: “Across the UK, people need high-quality, sustainable homes. We are committed to growth and playing an important part in addressing the housing shortage. We were attracted to the quality and location of St Modwen Homes’ land, helping us grow and expand to new areas.
“Through operating St Modwen Homes under its brand, we can continue to deliver choice to the market, while maintaining our commitments to quality, sustainability and the customer experience.”
The deal is subject to regulatory approval and is expected to close in the first quarter of 2025.
