LIFULL Co acquires Mitula - how was the deal valued?

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Integral service around a transaction
BY : Diego GutiérrezJuly Mon, 2018

We value from a corporate finance point of view, the investment made by LIFULL Co in acquiring Mitula Group, a digital classifieds group that operates vertical search sites and classified portals. The transaction took place on 9 May 2018.

We value from a corporate finance point of view, the investment made by LIFULL Co in acquiring Mitula Group, a digital classifieds group that operates vertical search sites and classified portals. The transaction took place on 9 May 2018.

Mitula Group

Mitula Group is a digital classifieds group operating vertical search sites and classified portals, based in Madrid. It operates 110 sites covering real estate, automotive, jobs and fashion in 54 different countries and 21 different languages. In addition, it operates 10 property portals in SE Asian markets.

Mitula is a company born and bred in Spain, but has been listed on the Australian stock market since 2015.

The Mitula Group's vertical search functionality gives users of its websites the ability to search listings from multiple verticals, such as real estate, automotive, employment and, in some countries, vacation rentals, and obtain search results from multiple advertisers with one search query. With access to search results from multiple advertisers, users are offered a more convenient and efficient search experience than searching on a single advertiser's website.

Variable 2015 2016 2017
Invoicing 20.568,035 28.022,988 33.595,067
Ebitda 2.588,623 8.173,723 5.277,721
Net financial debt -21.002,933 -20.462,205 -13.140,802
Investment 1,462 1,462 1,462
Growth 92% 36% 20%
Profitability 13% 29% 16%
Solvency -8,11% -2,5% -2,49%

Source: Yahoo Finance (in thousands).

  • Investment = Var. Fixed Assets + Amort. Fixed Assets
  • Growth = Var. Turnover
  • Profitability = EBITDA / Turnover
  • Solvency = Net Financial Debt / EBITDA
Valuation multiples 2017  
Company value 135,49M
EV/Ebitda 12,57
EV/Sales 4,03

LIFULL Co and the acquisition of Mitula

Australian digital classifieds company Mitula Group said on Wednesday that Japanese real estate portal Lifull Co agreed to buy the company for about $140M and merge it with the online classifieds unit Lifull.

Mitula shareholders will receive 0.0753 Lifull shares for each share they own. This values Mitula at around A $ 0.8742 (Australian dollars) per share, a premium of around 95 percent, based on Wednesday's share close.

Mitula said its board recommended that shareholders vote in favour of the deal, in the absence of a superior proposal.

LIFULL Co., Ltd. is a company that operates real estate and housing information services. It is the largest real estate and housing information listing service. It was established in 1997 with the aspiration to change the real estate industry. Its main service is the operation of LIFULL HOME'S, a real estate and housing information website, which provides the industry's most extensive library of property information in Japan. In addition to its focus on Mainstay Housing, LIFULL has expanded into related areas such as Nursing Care, Interior Design and Insurance. The Group is also actively providing its services in 57 different countries around the world.

Other investments in the classified sector

Company Description Country Amount Date
Adzuna Adzuna is an intelligent search engine for job advertisements. UK £8M 18/05/2018
Carousell Carousell is a Singapore-based consumer-to-consumer marketplace application for iOS and Android. Singapore $85M 14/05/2018
PatPat PatPat is a shopping app for mums. USA. USA. $47,8M 19/04/2018
Floyd Design Floyd Design is a new type of furniture company, primarily for urban living. USA. USA. $5,6M 18/01/2018
Yoti Yoti is your digital identity application: the easiest and safest way to prove your identity online and in person. UK £8M 16/01/2018

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