In news that signifies the demand within the UK’s real estate market, the country’s second largest property website, Zoopla, is to float on the LSE. The online service, second to rival Rightmove, will trade on the market with a listing of more than £1bn, said majority owner Daily Mail & General Trust (DMGT).
Zoopla, which also includes other property websites like PrimeLocation, SmartNewHomes and HomesOverseas, has seen a surge in popularity in recent years as buyers try to tap in to the reliable growth of UK property. Zoopla has grown to serve 40m users each month, with 90 percent of all property listings being placed on the site.
The UK’s ever-rising property market has continued to frustrate desperate house hunters
According to a recent survey by Harris Interactive, Zoopla enjoys 76 percent national brand awareness in the UK. The influx of capital from a potential floating will allow Zoopla to expand its services further, while looking as overseas markets.
In a statement announcing the news, Zoopla founder and CEO Alex Chesterman said the listing would present new opportunities for the firm. “I am very proud of what the team has achieved to date and we are incredibly excited about the opportunities ahead to continue to grow our brands and business. We’re confident about our future as we embark on the next stage of our development as a public company on the London Stock Exchange.”
The UK’s ever-rising property market has continued to frustrate desperate house hunters, while bolstering the investment portfolios of those lucky enough to own more than one property. Such is the demand for a foot on the property ladder, online services have sprouted up in recent years that allow people to find their perfect home and see the historic prices of properties around the country.
DMGT says that it will reduce its 52.6 percent stake in the firm, although the amount it sells will depend largely on the price. Stephen Daintith, DMGT finance director, said in a statement, “The amount we do sell depends on price, valuation and demand. There has been lots of commentary around valuation, let’s see over the next few weeks when we talk to investors.”
