OnTheMarket urges agent shareholders ‘not to sell’

OnTheMarket chief executive Jason Tebb has written to agency shareholders urging them not to cash in their holdings when they become eligible next month.

Staunch supporters of the agent-owned property platform locked into shares when the company began trading on AIM in February 2018 in a bid to bolster investor confidence.

FIVE-YEAR

That five-year lock-in comes to an end next month and those agents wishing to cash out will be able to do so through a Corporate Sponsored Nominee administered by Link Group.

Tebb writes: “We believe the progress we have made with your support as the agents’ portal and the opportunities for further growth and development provide compelling reasons for you to retain your Ordinary Shares and remain part of the agents’ portal into the future.

We hope that you will not seek to sell Ordinary Shares upon the expiry of the Lock-in Arrangements.”

“To that end, we hope that you will not seek to sell Ordinary Shares upon the expiry of the Lock-in Arrangements.”

But he adds: “Nevertheless, we recognise that circumstances may be such that some Entitled Agent Shareholders will wish to sell shares following the expiry of the Lock-in Arrangements.”

OnTheMarket listed on AIM five years ago and since that time it has raised further funds to invest in developing the business.

TESTAMENT

Tebb says that the successful equity capital raise was a testament to agent’s own strategic vision to create a majority agent-owned portal with the potential to challenge the status quo.

“Agents are at the very heart of our DNA and significant agent ownership of the portal has been central to the business,” he writes. “We have achieved much together since then.”

In the years following our IPO, we have also reached profitability.”

He adds: “In the years following our IPO, we have also reached profitability.

“We have strong cash reserves on our balance sheet, with no borrowings, providing us with the ability to continue to consider investment plans, whilst also considering possible future returns to our shareholders, including potential dividends.”

“We are hopeful that you will continue to support your portal and remain as a shareholder after February 2023. We firmly believe this is in your and our mutual interest.”