« Back to all posts

ZPG hints at more acquisitions as it arranges new funding

MY DEPOSITS

ZPG is strucuting a new debt package consisting of issuing £200m in senior notes due in 2023 and agreeing a new £200m revolving credit facility with lenders.

ZPG will use the funds to refinance its existing loans and revolving credit facilities.

Further funds will be used to pay fees associated with the refinancing.

In a statement, ZPG said: “The proposed new debt package is expected to strengthen the company’s financial position by offering it increased financial flexibility, providing a more stable and appropriate capital structure and allowing it to secure attractive interest rates for the next five years.

“The new bond issuance and bank facilities are expected to support the company’s strategy for further continued profitable growth with a more efficient capital structure.”

It is the first time since launch in 2008 that Zoopla is adding bonds to its capital structure.

The reference to ‘continued profitable growth’ is in line with ZPG’s existing acquisition strategy. Zoopla has built its highly successful business by making a large number of deals.

Last year alone, it bought comparison website Money for £80m, although GoCompare rejected a £460m offer.

Other major acquisitions have included Hometrack, the Property Software Group and Expert Agent.

The Zoopla website itself achieved early momentum by the acquisitions of Thinkproperty from the Guardian, and of PropertyFinder from News International and Australian business REA Group.

Yesterday, ZPG’s shares closed slightly down, at around 345p, giving it a market capitalisation of £1,533m.

* Separately, both Zoopla and OnTheMarket have revealed buoyant traffic numbers.

OTM said that on Boxing Day, traffic shot up by 47% compared with Boxing Day in 2016.

Zoopla said that it has been having almost 2m visits a day between December 22 and January 7, with traffic up 8.5% over the same period a year ago.

Rightmove is expected to release its Christmas and New Year traffic figures on Monday.

x

Email the story to a friend

FREE
daily news
email from EYE

straight to your inbox

Join 20,000 industry colleagues
and subscribe to our free daily news email.


(You may unsubscribe at any time and we promise never to sell or pass on your email address)

Thank you! To complete the subscription, please click the link in the email we just sent you.

Viewber 1 NSON THE MARKETNFOPP SkyscraperHUNTERS NS - to June 2017NES NSHamilton Fraser NSLANDMARK/SMARTVAL NSPaypropTLI LL INS NSTPO CONF NSBELVOIRTDS NSjobs board nsArena Push news story pages

[ comments ]

Source:: ZPG hints at more acquisitions as it arranges new funding