The REA Group joins carsales and Seek as the only internet stocks in the Index. Although the REA Group has a higher market cap than both Seek and carsales, it has taken longer for it to join the exclusive index due to the relatively low free float of the stock. Three companies control 80% of the shares with News Limited being the largest shareholder with over 60% of the equity.
The company has come a long way since 2001 when the market cap was a lowly AUD 8m. In those days revenues were only AUD 4m and losses were AUD 6m per year. Today it is valued at over AUD 6.7 bn. To learn more about the history of the REA Group - check out the slides from our 2011 webinar "The REA Group Story."
Simon Baker, the founder and executive chairman of Property Portal Watch, is the former CEO and Managing Director of the REA Group from 2001 through 2008.