Scottish house builder Springfield Properties has unveiled plans to float shares on the stock market.

In a trading statement today, 11 September, the company said by floating on the Alternative Investment Market (AIM), it could secure new funding to help invest in the infrastructure of five new villages in Scotland, as well as in existing sites.

The Group said: "Over the past 4 years the Group has secured land or entered into other arrangements relating to the development of 5 Villages with an estimated GDV of £1.5 billion. The development of these Villages is expected to involve significant net cash-outflows in relation to land purchases, remediation works and infrastructure of between £8 million to £12 million per site. The net proceeds of the Placing, together with the Company's debt facilities and internally generated cash, will be used to realise the value of the sites already secured by the Group through the development of the five Villages."

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Sandy Adam, Executive Chairman of Springfield, said: "Throughout our history, Springfield's strategies have achieved our aim of steady growth, doubling the company in size every five years. Our turnover exceeded £100 million for the first time this year and now we employ around 500 people. This IPO is the next step in our growth.

"Raising these funds is part of our strategy to secure ongoing growth at the same rate. The new funding will enable us to invest in the infrastructure of five new Villages in Scotland, and in existing sites, accelerating the delivery of new homes, private and affordable, in new communities.

"Scotland needs more homes countrywide and Springfield is poised to play a significant part in delivering these homes for private individuals and across all tenures in the affordable and social housing sector."

(LM)