PropTech Group (ASX:PTG) is a property technology SaaS company with a market-leading position in customer relationship management (CRM) systems with Australian and New Zealand residential real estate agents and a small but growing position in the UK market. The company, previously known as Real Estate Investar, relisted in November, having acquired CRM platforms VaultRE from its founders and MyDesktop from Domain Holdings Ltd (ASX:DHG) and after raising $10.6m at $0.25/share. In July, the company also completed a $15.5m share placement and 1-for-8.57 accelerated non-renounceable entitlements offer. Since relisting PTG has acquired H1, Harcourts’ CRM system, real estate agent focused website company WebsiteBlue and digital marketing group Designly and most recently independent and boutique CRM platform Eagle Software. The company has also forged a joint venture with Flip Money, BC Investment Group and Convini to create a payments services platform PropPay which will allow real estate agency operators and third party platforms to offer payments and buy now, pay later solutions to their customers for real estate services. We initiate coverage of PropTech Group with a base case valuation of $1.10/share, which implies a 15.1x multiple on FY21 sales & 9.3x multiple on our FY22 sales forecast.
Sign up for free to access
Get access to the latest equity research in real-time from 12 commissioned providers.
Get access to the latest equity research in real-time from 12 commissioned providers.
Delivering a new way to play real estate
- Published:
13 Sep 2021 -
Author:
Finola Burke -
Pages:
26
PropTech Group (ASX:PTG) is a property technology SaaS company with a market-leading position in customer relationship management (CRM) systems with Australian and New Zealand residential real estate agents and a small but growing position in the UK market. The company, previously known as Real Estate Investar, relisted in November, having acquired CRM platforms VaultRE from its founders and MyDesktop from Domain Holdings Ltd (ASX:DHG) and after raising $10.6m at $0.25/share. In July, the company also completed a $15.5m share placement and 1-for-8.57 accelerated non-renounceable entitlements offer. Since relisting PTG has acquired H1, Harcourts’ CRM system, real estate agent focused website company WebsiteBlue and digital marketing group Designly and most recently independent and boutique CRM platform Eagle Software. The company has also forged a joint venture with Flip Money, BC Investment Group and Convini to create a payments services platform PropPay which will allow real estate agency operators and third party platforms to offer payments and buy now, pay later solutions to their customers for real estate services. We initiate coverage of PropTech Group with a base case valuation of $1.10/share, which implies a 15.1x multiple on FY21 sales & 9.3x multiple on our FY22 sales forecast.