The deal brings together online conveyancing brands, SearchFlow and PSA (through PropertyFlow), and MDA Search and MDA Transaction Online (which are owned by MDA and trade in the UK).
The merged entity will be a leader in the electronic searches market in England and Wales, and will be well-positioned to take advantage of planned market changes, including the introduction of home information packs and e-conveyancing. The transaction is valued at an initial payment of £12 million and several contingent payments based on future performance.
The existing PropertyFlow management team will assume full operational control, with all existing brands (SearchFlow, PSA, MDA Search and MDA Transaction Online) continuing to offer the full range of services and support to existing customers.
Mark Riddick, ceo of PropertyFlow said, “This merger provides a great platform to offer the market an independent source of property search information. The commitment and resources of MDA, added to the market know-how of the SearchFlow management team, will be dedicated to supporting our existing and new customers. In addition, this combination improves our
collective ability to deliver the efficiency, consistency and speed required of the search business in the HIP era. We now plan to continue to spend time listening to what our customers want from us. One thing is for sure, we will continue innovating the market, to provide customers with the very best search services available.”
Martin Willard, managing director of TOL said, “The acquisition creates an exciting opportunity for all companies involved in the deal. As market leader in the online property search sector, the merged operation will offer the most comprehensive range of electronic nationwide search services available in the UK.”
Riddick added: “Customers will continue to experience the same high levels of service and support they currently receive, during the transitionperiod. Continuity of service is our key focus.”
As part of this transaction, Barclays Ventures will be realising an
investment which it made in PropertyFlow in May 2005. Jeremy Morgan, director, Barclays Ventures, said: “PropertyFlow is a market-leading, high-growth business and it has been a pleasure to be associated with this success story."
