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EYE NEWSFLASH: OnTheMarket raises £30m to start trading on stock market


The board of OnTheMarket has announced that it expects to start trading on the stock market shortly.

It has conditionally raised £30m through the placing of new ordinary shares, and expects that dealing in its shares on AIM will start on February 9.

It expects agents to own more than 70% of the issued share capital, and that the company’s market capitalisation on admission will be £100m.

In a statement this morning it emphasised:

“The key proposition of the business remains the creation of an agent-backed, full-scale property portal to disrupt what is otherwise a duopoly of Rightmove and Zoopla by offering a premier search experience to consumers whilst charging sustainably fair prices to agents.

“From Admission, the Directors believe the OnTheMarket portal will have over 5,500 branches representing around a third of the total UK residential property listings.

“Agents provide the majority of income for the property portals and also supply the majority of their most valuable content – the property listings.

“As a portal with significant agent support, the Directors believe OnTheMarket.com is uniquely positioned to create an alternative to the leading incumbent portals and to provide an opportunity for a broad base of agents to participate in the equity value of their own portal.”

The statement continues to say:

“Other key elements of the strategy are:

  • increasing the marketing budget to up to £25m per annum for the first two years to raise the profile of the OnTheMarket.com brand and continue to build the consumer audience;
  • investing to scale up the company’s infrastructure, especially its sales and customer relationship management organisation and its technology development;
  • growing substantially the core customer base of estate and lettings agents and other property advertisers using the portal; and
  • accelerating agent recruitment and broadening agent backing with the targeted use of equity incentivisation for key agents committing to support the portal with long term listing agreements.”

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BELVOIRHamilton Fraser NSNES NSON THE MARKETViewber 1 NSMY DEPOSITSTPO CONF NSNFOPP SkyscraperTLI LL INS NSjobs board nsArena Push news story pages

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Source:: EYE NEWSFLASH: OnTheMarket raises £30m to start trading on stock market