Real estate listing website Zillow just bought out competitor Trulia in a $3.5 billion deal, making them the biggest player in online real estate.
While some investors think it is a good business decision by Zillow to wipe out their biggest competitor, others argue that it might not have been since Trulia’s stock rose 8% in morning trading and Zillow’s dropped 5.9%.
The buyout will affect Trulia shareholders, who will receive .4 shares of Zillow commonstock for each share they hold and own 33% of the combined company. Zillow shareholders 1 comparable share of the combined company and own the remaining percentage of the business.
The combined company will keep the two brands separate because there is limited consumer overlap of their brands. Zillow averages 83 million unique visitors per month while Trulia averages about 54 million.
The Trulia board of directors will fall under the Zillow board of directors but will still have stake and say in the company.
For the past several years, we have become a leader in the semi-custom luxury home niche in Miami-Dade County, with a particular emphasis on the following neighborhoods: Coconut Grove, Coral Gables, Galloway Glenn, Pinecrest, and South Miami.