A chief executive who pledged to beef up her agency’s lettings division – but failed to do so – is leaving following a takeover deal.

Helena Marston was chief executive of Purplebricks and at the end of 2022 she announced “a plan to grow our lettings business”.

But in February, as her plans for the online agency began to crumble, she slashed the size of the lettings division.

Now Purplebricks has entered into a conditional agreement to sell its trading business and assets to Strike, a rival online agency whose most prominent shareholder is Sir Charles Dunstone.

The deal is for a token £1.

The deal involves Marston resigning from her role as chief executive and most of the board – other than chief financial officer Dominique Highfield – are expected to quit.

Marston – whose appointment to the chief executive role last year was delayed after it was discovered that in 2014 she voluntarily declared herself bankrupt – had a tribute paid to her by Purplebricks chairman Paul Pindar.

He says: “I would like to thank Helena for her leadership of the business through the most challenging of times and wish her the very best for the future.  

“She has implemented a difficult but necessary change agenda over the last 12 months which has laid the foundations for a more secure future.”

Sir Charles Dunstone – a partner in Freston Ventures, the joint major shareholder of Strike – adds: “We remain committed to the online model, which offers customers a much better experience at a far lower cost. This is a positive outcome for anyone looking to sell their home and save money doing so. 

“Purplebricks has dramatically changed the industry by driving down the cost of estate agency and we aim to combine its significant brand recognition with an even more disruptive business model.

“In bringing together the two brands, we will supercharge Strike’s mission to democratise house selling by empowering customers to have more control over a process that has barely changed for 200 years.

“At Freston Ventures we are focused on building household brands that are trusted by consumers across the UK. We believe there is a better way to sell your house and through this deal, we are developing the market-leading brand to deliver it.”

Any cash remaining in the business – some £5.5m – will pay off any debts and liabilities excluded from the deal and reimburse shareholders.