Housebuilder Cairn Homes has announced details of its initial public offering on the London Stock Exchange.

The company is seeking to raise from between €350m and €400m in the share placing.

Cairn Homes was  founded last year by Scottish accountant Alan McIntosh and Michael Stanley, the company's chief executive. It is chaired by the former KBC Bank Ireland chief executive John Reynolds. 

In a statement, the company described itself as an Irish homebuilder with a highly experienced management team who have a strong track record of delivering high quality homes in Ireland and the UK.

"The company has a clear strategy to deliver high quality new homes with an emphasis on design, innovation and customer service, in urban areas of Ireland, with a focus on Dublin, the Dublin commuter belt, Galway, Cork and other large cities, where the directors believe economic trends are supportive of housing demand and pricing," the company said.  

"Cairn Homes’ IPO will give our company the platform for a new and sustainable approach to home building in Ireland," commented its CEO Michael Stanley. 

"We are a well-capitalised business, governed by a strong independent board, with an experienced management team committed to constructing the highest quality houses and apartments for our customers," he added. 

Cairn recently secured five sites with a total estimated gross development value of €366m.

It aims to take advantage of substantial undersupply in the Irish housing market where less than 3,300 newbuild completions were seen in Dublin last year compared to a medium term demand of 8,000 to 10,000 homes a year.

Cairn said today it plans to start selling homes at a 50-acre site at Parkside, in north Dublin, in June.

Its pipeline includes projects at its Navan site, and at Rahoon, about 2.5 miles from Galway city centre. 

Irish residential property prices fell by 50% in a crash that helped collapse the financial system, but have rebounded in the past two years and are now 38% below their peak. Dublin house prices increased by 20% in the year to April.

McInerney Holdings in 1997 was the last Irish homebuilder to float on the stock market, but it delisted in 2010. 

Real estate investment trust Irish Residential Property REIT last year raised €200m on the Irish stock exchange, while Green REIT and Hibernia REIT have also raised substantial funds to invest in Irish commercial property.