Barratt sells US division

Barratt is selling its American housing division to a management buy-out team for £91m.

Three members of Barratt American's management team, including president for the last 13 years Michael Pattinson, have been backed by a private equity investor and Bank of America.

The sale is subject to various conditions and should be completed in early September. The proceeds will initially be used to reduce gearing and thereafter be put towards land purchases.

Barratt chief executive David Pretty said: "This is a good strategic move for Barratt. Barratt American is a profitable, but relatively small part of our total group operation."