(Reuters) -Australian actual property agency REA Group mentioned on Monday it was contemplating shopping for London-listed peer Rightmove (OTC:) by way of a attainable money and share provide, sending its shares down almost 6%.
Shares of the Melbourne-headquartered group, majority-owned by Information Corp (NASDAQ:), fell as a lot as 5.9% to A$206.01 by 0118 GMT, posting their largest intraday share drop since December 2022. The benchmark inventory index was down 0.3%.
REA Group, by which the Murdoch household owns greater than 61%, mentioned it had not but approached or had any discussions with Rightmove on a possible provide.
Rightmove, Britain’s largest property portal, had a market worth of 4.36 billion kilos ($5.73 billion), as of Friday’s shut.
Final month, REA Group posted an increase in annual revenue, lifted by greater nationwide residence listings in Australia. Rightmove, then again, has flagged falling new residence numbers in Britain.
UK-based Rightmove didn’t instantly reply to a Reuters’ request for remark.
“There can be no certainty that an offer will be made,” REA Group mentioned in an announcement.
The Australian firm now has to both lodge a agency bid for Rightmove or again out by Sept. 30, in response to the UK’s takeovers rule.
($1 = 0.7613 kilos)
