REA Group proposes a third acquisition bid for Rightmove, valued at £6.1bn – live updates on Business

Australia’s REA Group has sweetened its takeover offer for UK housing portal Rightmove, proposing to pay around £6.1bn for the company. This new offer, worth 770p per Rightmove share, consists of 341p in cash and 0.0422 new REA shares. Despite being rebuffed twice earlier this month, REA CEO Owen Wilson believes the acquisition will create an enhanced experience for agents, buyers, and sellers. REA, majority-owned by Rupert Murdoch’s News Corp, made its first offer on 5 September, which was rejected. Following this, a second offer was also turned down. Rightmove’s board has not officially responded to the third offer, with reports suggesting it has been rejected. Rightmove shares closed at 674p before news of the increased offer, valuing the company at £5.32bn. Additionally, surveys on purchasing managers across major economies are expected today, along with a speech from chancellor Rachel Reeves at the Labour Party conference. On the financial front, smart sensing software company Oxford Metrics has warned of lower profits due to extended buying cycles among customers. In the retail sector, spending on health and beauty products is on the rise despite cost-of-living pressures, with social media playing a key role in influencing purchases. Meanwhile, Rea Group’s shares dropped by 2.1% after the increased offer for Rightmove, with the company disputing claims of being opportunistic. Share prices for both companies have been affected by the ongoing acquisition talks, with investors waiting to see how the situation unfolds.

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