EQT Private Capital Asia, a buyout fund backed by billionaire Jean Salata, has announced its plans to acquire PropertyGuru, a Singapore-based online real estate platform, in a deal valued at $1.1 billion. Under the agreement, PropertyGuru shareholders will receive $6.70 per share, representing a 52% premium over the company’s closing price on May 21. EQT believes that this offer provides shareholders with compelling value and certainty, positioning PropertyGuru to fully harness its long-term growth potential.
The deal is subject to shareholder and regulatory approvals and is expected to close by the first quarter of next year. U.S. private equity firms KKR and TPG, which collectively hold a 56% stake in PropertyGuru, have endorsed the transaction. PropertyGuru will delist from the New York Stock Exchange and transition to a privately held company based in Singapore once the deal is finalized. This acquisition comes as EQT plans to raise $12.5 billion for a new Asia-focused fund managed by EQT Private Capital Asia.
PropertyGuru CEO Hari V. Krishnan expressed confidence in the deal, stating that EQT’s global expertise in building marketplaces and commitment to sustainable growth will enhance their vision to empower communities to thrive in tomorrow’s cities. Notably, REA Group, an Australian real estate company controlled by billionaire Rupert Murdoch’s News Corp., owns over 17% of PropertyGuru and expects to receive approximately A$286 million ($189.6 million) from the sale of its stake. PropertyGuru, which was launched 17 years ago, currently boasts over 28 million monthly active users and operates in Singapore, Malaysia, Thailand, and Vietnam.
Jean Salata, a Chilean citizen based in Hong Kong since 1989, has a net worth of $6.5 billion and was ranked No. 12 on Hong Kong’s 50 Richest list published in February. In 2000, Salata led a management buyout of Baring Private Equity Asia, which was later acquired by Swedish private equity firm EQT in a deal valued at $7.5 billion. Salata now heads the combined Asian operations of Baring and EQT, which have been rebranded as EQT Private Capital Asia. The acquisition of PropertyGuru marks another milestone for Salata and his team as they continue to expand their presence in the Asian private equity market.
With PropertyGuru’s strong presence in the online real estate market and EQT’s track record of building successful marketplaces, the acquisition is expected to create new opportunities for growth and innovation in the industry. The transition to a privately held company will allow PropertyGuru to focus on long-term strategies and capitalize on EQT’s global expertise. As the deal moves forward, stakeholders will be closely monitoring the progress and impact of this acquisition on the real estate sector in Asia.
Overall, the acquisition of PropertyGuru by EQT Private Capital Asia signifies a significant development in the Asian private equity landscape. With a strong focus on sustainable growth and market expansion, both parties are poised to benefit from this strategic partnership. As the deal progresses, investors, shareholders, and industry experts will be closely watching to see how this acquisition shapes the future of the online real estate market in the region.
