ASX-listed REA Group has announced it will divest its 17.2% stake in PropertyGuru Group as part of a US$1.1 billion transaction.
Affiliates of BPEA Private Equity Fund VIII (“EQT”) will acquire PropertyGuru for US$6.7 per share.
This move comes after major shareholders TPG and KKR, holding over 56% of PropertyGuru shares, decided to realise their investment.
REA Group, which reported an impressive financial performance for FY24, expects to receive approximately $286 million from the sale, leading to a non-core gain of $150m in FY25.
“EQT’s offer represents a compelling price,” REA Group CEO Owen Wilson (pictured above) said. “We wish the PropertyGuru management team well as the business takes its next steps under new ownership.”
Following the PropertyGuru divestment, REA Group will focus on its rapidly growing Indian business.
“Our global growth strategy remains focused on our Indian business, which has significant momentum and represents an outstanding opportunity,” Wilson said.
The acquisition of PropertyGuru by EQT is expected to close in Q2 or Q3 of FY25, pending shareholder and regulatory approvals.
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