Activist shareholder’s buying spree sparks Rightmove takeover speculation
The investment group, which has links to Rupert Murdoch's News Corp, is now the portal's third biggest shareholder.
Rightmove could be under renewed pressure from its own shareholders after an activist investor bought a £250 million stake.
This investment group, which has links to Rupert Murdoch’s News Corp, is now the third largest shareholder in the portal, the Daily Telegraph reports.
Independent Franchise Partners (IFP), which has acquired a 5.8% holding in Rightmove, is already one of the largest independent shareholders in Rupert Murdoch’s News Corp and Fox Corp.
Takeover target
IFP’s link to Murdoch is set to spark speculation that the UK’s number one portal is again a takeover target.
Last year, the portal’s board rejected a series of offers from Australian property portal REA Group, which is owned by News Corp.
The portal is already facing a group legal action seeking to recoup “excessive and unfair fees”.
The legal action, which is being led by former Competition and Markets Authority (CMA) panel member Jeremy Newman, hopes to recoup fees on behalf of participating estate agents that could reach £1 billion.
Shares plummet
And Rightmove’s shares have plummeted 20% in the last month, dropping £1.36 to £5.34, and 30% over six months.
Last month, the portal’s share price nosedived following its latest trading update which revealed it is planning to spend £60 million over three years on AI and product development that would impact profits.
The property portal’s shares dropped dramatically from £6.60p to £5 during initially trading before recovering to £5.74, or a drop of just under 14%.
