MRI Software to acquire ASX-listed PropTech Group
Combined companies poised to meet increasing consumer demand for one agency to handle lifetime property needs from renter to retiree
Sydney, AUSTRALIA – 31 October 2022. Global property technology leader MRI Software announces it has entered into a binding Scheme Implementation Deed to acquire 100 percent of PropTech Group Limited (“PTG”) (ASX: PTG.AX) for an estimated value of A$93.4 million. PTG is an operator and investor in real estate software companies, primarily in Australia, New Zealand, and the United Kingdom.
The A$0.60 cash per share offer, equating to an implied equity value of approximately A$93.4 million on a fully diluted basis was submitted to the Australian Stock Exchange (ASX) by PTG earlier today (PTG advisory link here). The offer includes MRI acquiring PTG’s well-respected real estate software brands including VaultRE, VaultEA, EagleCRM, Real Estate Investar, Website Blue, Designly, and RentFind Inspector. Many of PTG’s products complement and strengthen the MRI Living™ suite of solutions for residential sales and property management – and add new capabilities in other areas.
David Bowie, Managing Director and Senior Vice President (Asia Pacific) for MRI Software says, “This acquisition brings immediate value to our real estate agency clients in the region and represents a significant investment in the future of the real estate sector more broadly. In the same way FinTech fuelled growth and efficiencies in banking and finance over the last decade, we believe PropTech will propel the next generation of real estate to ensure its long-term value and contribution to our national economies.
“The business of finding, buying, selling, renting, and investing in property comes with the same complexities as any advanced industry – and needs the right technology to enable its potential. A combined MRI and PTG will be well-equipped to help modern real estate agencies respond to changing consumer expectations and market dynamics,” he says.
New data: Australians want one real estate agency for life
A recent YouGov national survey commissioned by MRI in Australia called “Voice of the Australian Real Estate Consumer” (link to key findings here) amplifies an example of changing consumer needs: 7 in 10 Australians say it’s a “hassle” to deal with multiple real estate agencies for property changes. It reveals that on average, Australian real estate consumers made seven (7) property transactions over the past ten years, up to one per year for Millennials (26-41 years old) moving from rentals to buying or investing in a relatively short period of time. Of those, a remarkable 3 in 5 (64%) would prefer to work with only one real estate agency for all their property needs.
“A lifetime view of a client from tenant to retiree is a significant shift in the way many real estate agencies operate today. To keep clients for life, we believe an open and connected technology ecosystem is a must. Marketing, sales, and property management need to be able to work together to deliver a ‘single view’,” says MRI’s David Bowie.
PTG Product Inclusions in MRI Acquisition
MRI’s acquisition includes a range of PTG portfolio products that automate and simplify business services at various touch points in a client’s relationship with a real estate agency, including:
- CRM (Customer Relationship Management): VaultRE, VaultEA, and EagleCRM manage sales/listings, rentals, and contacts in a residential or commercial property context.
- Property Investment and Insights: Real Estate Investar locates, compares, and analyses property investment opportunities, tracking national, regional, metro, and local market movements.
- Property Inspections: RentFind Inspector simplifies property inspection and condition report generation.
- Marketing Automation: Designly allows agents to self-manage brand assets and campaigns with one-click marketing automation, and SocialEazie offers automated social media marketing for real estate.
- Agent and Agency Websites: WebsiteBlue is a full-service professional web design and development service and PropSEO offers all-in-one search engine optimisation.
Joe Hanna, PTG’s Group CEO and Managing Director says, “PTG was founded to help real estate businesses find a smarter way to do business – and to help our industry prosper. Bringing our respective innovations together in one ecosystem makes sense as agencies rise to the challenge of keeping clients for life. I welcome our shareholders’ support to secure closure on the agreement in the coming months so we can collectively crack on with making a positive difference.”
MRI’s David Bowie adds, “MRI has served the real estate industry for more than 50 years – including over 25 years in Australia and New Zealand. We look forward to working with PTG’s management team and employees to continue delivering on our shared commitment to offer the real estate industry choice across an open and connected PropTech ecosystem – one that supports agencies in driving further innovation and pioneering the next generation of real estate in Australia and New Zealand.”
The Australian Stock Exchange (ASX) was formally advised by PTG at AEDT 4:38pm on 31 October 2022. The acquisition has been unanimously approved by the boards of MRI and PTG and is pending shareholder and regulatory approval. PTG will continue to serve its clients as usual, without interruption. Due process is expected to take a few months. MRI is being advised by Highbury Partnership, as financial adviser, and Corrs, as legal adviser.
Compare My Move Grows Team By Almost 50%
Cardiff-based comparison website for UK home movers has expanded its team by almost 50% within the last year
The company has strengthened each team with eight new additions throughout 2022, with future growth planned for the coming months. This brings the total number of employees in the company to 21 across 6 departments – a far cry from the small team which started everything back in 2012.
Compare My Move welcomed Nicola Ryan and Ashleigh Williams as content writers and Liam Martin as SEO Manager on the digital team.
Nathan Burnell has joined the company as a Partner Support Executive and Dave Clarke and Martyn Mayor have joined as New Business Partner Executives. David Griffiths joined as PHP Developer on the development team and Lucas Lozzi will join the company as Paid Search Manager.
Compare My Move started out with a service matching home movers with local removal companies and has since expanded to offer surveying, conveyancing and storage.
The company now boasts over 500 partners across the services they offer, with Q4 2022 already seeing an increase in new partners. With new services on the horizon, the company doesn’t appear to be slowing down anytime soon.
“It’s been great to see the company grow so quickly over the past year. Each new starter has been a valuable addition and we’re already seeing vast improvements across the company. It has been an exciting year for the company, and one of amazing growth. We look forward to what the future holds and an even stronger 2023.”Owner and Managing Director Dave Sayce
In addition to the new starters within the core team across the company, Compare My Move is also looking to grow its design team, which became its own department earlier this year.
The development team is also looking to expand, something which the company hopes to see in early 2023.
Proptech and Property News in association with Estate Agent Networking.
Andrew Stanton is the founder of Proptech-PR, a consultancy for Founders of Proptechs looking to grow and exit, using his influence from decades of industry experience. Separately he is a consultant to some of the biggest names in global real estate, advising on sales and acquisitions, market positioning, and operations. He is also the founder of Proptech-X Proptech & Property News, where his insights, connections and detailed analysis and commentary on proptech and real estate are second to none.