Rightmove to reject second approach from Murdoch Group
Rightmove is expected to reject an attractive takeover bid from an Australian property giant controlled by Rupert Murdoch.
The property website is expected to reject a £5.9bn bid from Rea this morning, after rejecting a £5.6bn bid earlier this month.
Rightmove is a major takeover target after its share price fell due to rising mortgage rates.
But the company, which has more than 80 percent of the UK stock market, has said its previous £5.6 billion bid was “opportunistic” and “undervalued” the business.
The group is reportedly set to file another rejection today on similar grounds.
Takeover target: Rightmove expected to reject £5.9bn bid from Rea after rejecting a £5.6bn bid earlier this month
Murdoch’s eldest son Lachlan organised an investment in Melbourne-based Rea in 2001 when the company’s shares plummeted after the dotcom bubble burst.
The move was a smart one as Rea is now one of the largest companies on the Australian stock exchange, with a valuation of over £13 billion.
Rightmove shares have risen by more than a fifth since Rea’s first approach.
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