The owners of MyHome.ie, the property portal, are considering floating the site on the stock exchange following the completion of a strategic review.
The review, by IBI Corporate Finance, recommends two options to the owners: a flotation on the Alternative Investment Market (AIM) in London or a trade sale. The idea of MyHome.ie making an acquisition in its own right appears to have been abandoned.
It is understood MyHome.ie will now contact interested trade buyers and the owners believe a purchase price of €40-€60 million is achievable.
Several large media groups are likely to take an interest in the site, which is owned by AIB and a group of estate agents. Among these may be Independent News and Media, Thomas Crosbie Holdings and Johnson Press, a UK regional publisher.
However, some MyHome.ie shareholders believe there could be interest among the Dublin investment community for a public sale of shares on the AIM.
Media companies have increasingly bought into property websites over recent months. The Daily Mail purchased PrimeLocation.com for £48 million a few months ago. Independent News and Media recently bought a property website in Northern Ireland called PropertyNews.com.
Rupery Murdoch's News International has also invested heavily in property websites and portals, with its Australian operation, RealEstate.com taking a large share of the market.
Valuations for property websites and portals have increased vastly over recent months after the site Rightmove listed on the London Stock Exchange. Its share issue was hugely oversubscribed. In recent months there were also suggestions another Irish site daft.ie might be sold, but this was denied by the foundners, the Fallon brothers.
The MyHome site is run by a company called MyHome Limited. The company is owned by the following shareholders: Sherry Fitzgerald (25 per cent); Douglas Newman Good (20 per cent); Gunne Residential (20 per cent) and AIB (20 per cent). There are also a number of smaller investors and managing director Jim Miley also holds some shares.
MyHome contains properties for rent and purchase and sellers dealing with the main auctioneers often take space on the site in addition to more traditional channels. The site now encompasses a range of home and garden tips and advises consumers on the best ways to finance their home purchase. Several financial institutions take space on the site.
*Yesterday another property related website, NewAddress.ie said it had now registered 10,000 customers. MyHome.ie is the majority shareholder in NewAddress.ie. The free service allows people to alert banks, utilities and membership organisations of their change of address.
Jim Miley, who is managing director of NewAddress.ie, said the site recently tied up partnership agreements with Irish Life and Permanent, Meteor, Dublin City Council and NTL.
