PropTech Group has agreed to buy Eagle Software for $7.5 million as part of its objective to own and operate property technology businesses in the Australian, New Zealand and United Kingdom real estate markets.
Under the agreement the payment will include $4.1 million in cash and $3.4 million in scrip.
It forms part of a wider, $17.5 million equity raising to acquire not just Eagle Software, but other growth initiatives as it expands its footprint in the Customer Relationship Management space.
Based in Melbourne, Eagle Software was established in 2014 to provide the real estate industry with listing management, CRM and website solutions.
It is used by more than 800 offices across Australia and New Zealand.
The acquisition aligns with PropTech Group’s growth strategy and will complement its existing franchise-focused VaultRE platform.
The Eagle Software purchase will also see PropTech Group’s market share rise from 31 per cent to 38 per cent in the Australian and New Zealand CRM arena.
PropTech Group Chief Executive Officer and Managing Director Joe Hanna said he was excited to welcome Eagle Software to the group.
“Together, we will be one of the leading real estate CRM companies in the Australian and New Zealand market, providing our clients with better functionality, more innovation and, mostly importantly, better service and results,” he said.
“The Eagle Software acquisition is an exciting opportunity for PropTech Group and delivers on our growth strategy.
“Eagle Software is well aligned with VaultRE, yet focuses on independent, boutique and small multi-office real estate agencies, enabling scaled entry into this sector of the market.
“The acquisition solidifies our market position as a major player in Australia and New Zealand with Eagle Software adding more than 800 agencies to our ecosystem.
“This increased scale provides an opportunity for further value creation through synergies and further investment in our brand and customer experience.”