The founders of Purplebricks are returning to the business in a surprise move more than five years after stepping away from the company they built into one of the UK’s most recognisable online estate agency brands.
According to Mark Kleinman, writing for Sky News, brothers Michael Bruce and Kenny Bruce have agreed a deal with telecoms entrepreneur Sir Charles Dunstone to take a significant minority stake in the business.
The pair are returning as part of an agreement with Dunstone’s investment vehicle Freston Ventures, which owns the estate agency platform.
Under the arrangement, Michael Bruce will become chief executive of Purplebricks, while Kenny Bruce will help lead efforts to return the company to sustainable long-term growth.
AGENCY DISRUPTOR
Purplebricks launched in 2014 promising to disrupt the traditional estate agency model by offering homeowners a fixed-fee alternative to commission-based sales.
The company floated on the London Stock Exchange a year later and at one stage held roughly 10% of Britain’s residential property sales market.
However, investor concerns over international expansion into markets including the United States and Australia led to Michael Bruce’s departure as chief executive in 2019.
Performance continued to deteriorate in the years that followed, culminating in the business being sold for £1 in 2023 to Strike, an online estate agency backed by Dunstone.
BRAND AWARENESS
Strike has since rebranded its operations under the Purplebricks name, reflecting the continued recognition of the brand within the UK property market.
Following their exit from Purplebricks, the Bruce brothers launched a property portal called Boomin, intended to challenge Rightmove. Boomin was liquidated in 2022.
In a statement issued to Sky News last night Michael Bruce (main picture, inset) said: “My brother and I are delighted to return home to the business we founded and are excited to work with Sir Charles Dunstone and the Purplebricks team to drive success and build market share in the UK housing market.
“We will work tirelessly to deliver an exceptional service for every homeowner whilst leading the business through its next phase of growth.”
