Purplebricks Group PLC Pre-Close Trading Statement (5887V)

TIDMPURP

RNS Number : 5887V

Purplebricks Group PLC

06 November 2017

6 November 2017

Purplebricks Group plc

Pre-Close Trading Statement

On-course for the full year

Purplebricks Group plc ('Purplebricks' or 'the Group'), the leading hybrid estate agency, confirms that following the closing of the first half of the financial year, it remains on course to meet the board's expectations for the full year.

The Group's Interim Results will be released on 13th December.

For further information, please contact:

 
                                     [phone] 
 Purplebricks                                   2020 
 Michael Bruce, James Davies 
 
                                     [phone] 
 Zeus Capital (NOMAD)                           5000 
 Nicholas How, Benjamin Robertson 
 
                                     [phone] 
 Peel Hunt (Broker)                             8900 
 Dan Webster, George Sellar 
 
                                     [phone] 
 Investec Bank (Broker)                         5970 
 Keith Anderson, Carlton Nelson 
 
                                     [phone] 
 Instinctif Partners                            2020 
 David Simonson, Mark Reed, 
  George Yeomans 
 

Notes to Editors

Purplebricks is a leading next generation estate agency operating in the UK, Australia and the US. Purplebricks combines highly experienced and professional Local Property Experts and an innovative use of technology to help make the process of selling, buying or letting so much more convenient, transparent and cost effective. Purplebricks is transforming the way people perceive estate agents and estate agency. Building on its UK success, Purplebricks launched into Australia in August 2016 and the US in September 2017.

Unlike traditional agents, where customers only pay upon the sale of the property, which effectively means that those that do sell pay more in order to cover the costs of those that do not sell, Purplebricks believes it is more equitable that everyone should pay, charging a flat fee at instruction. This helps to avoid the industry issue of timewasters and those that are merely 'testing the water' and underpins the low, flat fee model.

Customers in the UK and Australia can choose to pay at instruction or defer, at no extra cost, to the earlier of ten months from the date of instruction or the date of sale. If a customer wishes to defer payment, they are required to use Purplebricks' conveyancing services for the sale.

Purplebricks charges GBP849 (inc. VAT) for a sale anywhere in the UK besides London and surrounding areas, where there is a charge of GBP1,199 (inc. VAT). There are additional charges if the customer wants Purplebricks to undertake the viewings on their behalf, if they require an energy performance certificate or a Rightmove premium display, amongst other services that are available.

The business model is low cost, flexible and cash generative, without the need for an expensive leased estate. LPEs are self-employed and receive a flat fee per instruction and can earn additional fees from the sale of ancillary services including, but not limited to, conveyancing, mortgage referrals and insurance.

Purplebricks listed on the Alternative Investment Market (AIM) in December 2015, raising GBP25m of growth capital before listing costs at 100p per share. In February 2017 Purplebricks raised an additional GBP50m (gross) through a share placing to fund US expansion.

This information is provided by RNS

The company news service from the London Stock Exchange

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November 06, 2017 02:00 ET (07:00 GMT)