Zillow Inc (Z) shares hit a new 52-week high of $164.90 after the company confirmed the acquisition of rival Trulia (TRLA) in a $3.5 billion all-stock deal. The online real estate information provider said Trulia shareholders will receive 0.444 shares of Zillow common stock for each share of Trulia, and will own roughly 33% the combined company. At Friday’s closing price-per-share [pps] for Zillow, that valued each Trulia share at near $70.53, a 25% premium to Trulia stock’s Friday closing pps of $56.35.
“Both companies have been enormously successful in creating compelling consumer brands and deep industry partnerships, but it’s still early days in the world of real estate advertising on mobile and Web,” Zillow CEO, Spencer Rascoff said in statement. Zillow reported a record 83 million monthly unique visitors in June. For the same month, Trulia reported a record 54 million monthly unique users across its sites and mobile apps.
Zillow’s stock has climbed a staggering 133.13%, or $93.57 per share, from the 52-week low of $70.28 set on Dec 4, 2013.
The stock closed at $158.86 at the end of Friday’s trading session, printing a solid one-year return of about 117.34% and year-to-date return of around 98.50%, outperforming the S&P 500 by more than 97%. The average volume of shares traded over the last three months was roughly 1.9 million.
The chart below shows where Zillow shares have traded over the last 52 weeks, with the 50-day and 200-day moving averages included.
This Seattle-based online real estate search-engine company has a market cap of $6.4 billion and long-term expected earnings yearly growth of more than 59%. The trailing-twelve-month revenue at Zillow is $224.82 million. Zillow’s gross profit for the same period is $178 million.
On Monday, and as previously mentioned, the equity reached a 52-week high before falling back slightly in afternoon trading to $163.32.