) recently announced that it is set to acquire Relocation.com for
$11.5 million in cash.
Of the total purchase price, $9.5 million will be paid on the
closing of the deal while the remainder will be paid in the coming
The acquisition will be accretive to the top line and EBITDA in
the fourth quarter of 2012 and start contributing to the bottom
line by 2013.
Relocation.com is an online marketplace that assist people in
relocation places, primarily connecting home buyers and people
taking houses on rent with moving and storage
The combination of Move's existing Moving.com business and
Reloaction.com will significantly strengthen Move's position as a
dominant player in moving services.
The recent acquisition is another step forward toward Move's
strategic goal of creating a one-stop destination for comprehensive
and accurate real estate listings as well as providing adjacent
services like moving and storage that enhances the real estate
process for consumers.
In addition, the acquisition will broaden Move's focus on the
residential rental market, which in the U.S. is expected to add
five to six million households in the next decade.
Meanwhile, Move remains focused on creating a comprehensive
online marketplace for real estate related information and
services. Relocation.com works with pre-screened and licensed
moving, auto transport and storage companies across the country to
ease the relocation process. The combined services of
Relocation.com and Moving.com will provide users with a wide array
of services and expand Move's market considerably.
Last month, the company increased its guidance on the back of
TigerLead Solutions, LLC acquisition for $22 million.
TigerLead Solutions provides a comprehensive online solution for
generating and managing homebuyer and home seller leads. Management
expects the acquisition of TigerLead to broaden Move's lead
generation product tool and empower Move to deliver a complete
suite of end-to-end solutions. These solutions will help real
estate professionals connect with consumers and grow their
TigerLead has added to the already impressive product portfolio
of Move, which already include REALTOR.com, ListHub, and Top
Producer CRM. TigerLead will complement the leads generated by
Management believes that a positive sign for its business and
the industry as a whole is that even while the number of homes for
sale has declined over the past several years, consumer engagement
continues to increase.
We continue to maintain an Outperform recommendation on Move.
Our recommendation is supported by a Zacks #2 Rank, which
translates into a short-term rating of Buy.
MOVE INC (MOVE): Free Stock Analysis Report
To read this article on Zacks.com click here.