Asia's leading group of property portals, the iProperty Group, announced today that it had raised A$10m (US$10m) through a placement to existing and new institutional investors.
According to the press release, the proceeds from the capital raising will be combined with current cash reserves and used to:
The Group is clearly cashing up to fuel aggressive growth in its existing markets. The sites within the Group are:
Di Gregorio went on to say, “The capital raising was strongly supported by existing shareholders and at the same time we have been able to bring nine new high profile Institutional investors on board who have been following our progress over recent years – a very pleasing outcome. The strong support from Institutional investors positions us well for the future. We are also pleased to offer our existing shareholders the opportunity to participate in the capital raising through an attractively priced Share Purchase Plan.”
For the year ended December 2011, the business delivered A$12m (US$12m) in revenues and analysts are predicting significant growth in 2012. Recently Baillieu's stock brokers released research on the iProperty Group and set a target price of A$1.45 - well about the placement price of A$1.
Disclosure: Parties associated with Property Portal Watch own iProperty Group shares