Australian property giant REA Group, backed by Rupert Murdoch’s News Corp, is considering a £4.4bn bid to buy Rightmove, the UK’s leading online property portal.
REA Group, listed on the Australian Securities Exchange, operates prominent real estate platforms such as realestate.com.au in Australia, and is expanding into markets across Asia, India and the US through brands such as realtor.com.
The company is reportedly considering a cash-and-shares offer for Rightmove, but has not yet begun formal discussions. To fund the acquisition, REA may need to secure additional equity funding.
REA Group has until the end of September to submit a formal offer.
In a statement to the Australian Stock Exchange, REA’s board highlighted the strategic fit between the two companies, citing their strong market positions in residential real estate, innovative service expansions, dominant audience share and well-recognised brands. “REA sees a transformative opportunity to apply its world-leading capabilities and expertise to drive customer and consumer value across the combined portfolio, creating a global, diversified digital real estate company with market leadership in both Australia and the UK,” the statement said.