REA Group Offers £6.1 Billion to Acquire Rightmove in Third Bid – Live Business Updates

Australia’s REA Group has made a third offer to buy the UK’s biggest online property portal, Rightmove, for £6.1bn. The offer values Rightmove at 770p per share, structured as 341p in cash and 0.0422 new REA shares. REA believes that combining its expertise and technology with Rightmove’s business will enhance the experience for agents, buyers, and sellers. Despite being rebuffed twice, REA is disappointed at the lack of engagement from Rightmove’s board. The initial offer of 705p per share was rejected, and a subsequent offer of £5.9bn was increased by £300m. Rightmove’s board must now consider this latest offer, as the company’s shares closed at 674p before the news broke. Surveys of purchasing managers across major economies, including the UK, Eurozone, and US, will show the economic situation this month. Additionally, Chancellor Rachel Reeves is expected to promise a Budget to rebuild Britain at the Labour Party conference. The Rea Group’s shares dropped by 2.1% after the increased offer, and they dispute Rightmove’s claim that their approach is opportunistic. Rightmove’s shares jumped when the original approach was announced, indicating potential interest in the offer. The property portal now faces the decision of whether to engage with the latest bid.

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