by FARA AISYAH/ pic by TMR FILE
PROPERTYGURU Ltd has lodged a prospectus with the Australian Securities and Investment Commission for an initial public offering (IPO) and listing on the Australian Securities Exchange (ASX).
In a statement yesterday, the Singapore based property technology (proptech) company noted, if the offer is successful at an indicative price range of A$3.70 (RM10.45) to A$4.50, the exercise will raise A$363 million.
“We intend to use part of the proceeds from the offering to pursue our growth strategy, which includes the potential expansion into a number of direct adjacencies, including providing property seekers in our core markets with convenient access to mortgage financing through an online mortgage marketplace and developing data offerings to our customers,” CEO Hari V Krishnan said.
The company’s core markets across South-East Asia are Singapore, Vietnam, Malaysia, Thailand and Indonesia. PropertyGuru has 60% consumer market share across its core markets.
“We have established a strong market position in the South-East Asian property ecosystem. Much of our success is the result of our strategic significant investment in technology. We have invested heavily to build what is today an integrated and differentiated technology platform, which caters to the opportunities in our core markets,” Hari said.
He said PropertyGuru’s pro forma revenue has grown at a 26% compound annual growth rate over the last three years.
Last year marked the first year PropertyGuru became both earnings before interest, tax, depreciation and amortisation and free cashflow positive.
Over the past 12 years, the group has grown from a single-market start-up to a diversified proptech company with a robust portfolio of products, including online real estate classifieds marketplaces in five countries serving the primary and secondary sales markets among others.
Its chairman Olivier Lim said the market opportunity for online property advertising in the group’s core markets is underpinned by a number of key macroeconomic and other trends, including strong population growth, urbanisation, increasing penetration of the internet within the population, increased access to mobile phones, and in particular smartphone penetration, as well as rising wealth levels which has seen the expansion of the middle classes.
“Online property advertising on our digital platforms offer agents and developers more cost effective solutions than traditional print channels and allows them to target a broader audience.
“We expect these trends to shift property advertising away from print and other offline channels in our core markets to online, as property seekers increasingly use digital channels to conduct their property searches,” said Lim.
The PropertyGuru board of directors comprises independent and non-executive chairman Lim; independent and non-EDs Jenny Macdonald and Melanie Wilson; CEO and MD, Hari; co-founder and ED Steve Melhuish and non-EDs Dominic Picone, Terence Lee, and Paul Bassat.