Murdoch family closes in on £6.1bn Rightmove deal

Rightmove has said it will “carefully consider” a new £6.1bn offer from Rupert Murdoch’s property website as the two sides move closer to a deal.

REA Group, majority-owned by media mogul News Corp, has confirmed it has made a third takeover approach for Rightmove worth £6.1bn.

The new proposal is worth 770p per share, compared with previous offers of 705p and almost 750p per share, which valued Rightmove at £5.6bn and £5.9bn respectively.

The move comes after REA first outlined a possible offer in early September, valuing Rightmove at £5.6bn.

The ongoing pursuit comes as News Corp seeks to further diversify its businesses beyond media as patriarch Rupert Murdoch hands over the reins to his eldest son, Lachlan.

Rightmove has dismissed the initial approach as “opportunistic” and some investors have also criticised the structure of the offer, which relies on a mix of cash and shares in the combined group.

However, she said today that her board would “carefully consider” the increased proposal.

Andrew Fisher, Chairman of Rightmove, said: “Rightmove is an exceptional business with a very clear strategy, a consistent delivery record and a strong management team.

“The Board is confident in the short and long term prospects of the Company and sees a long path to continued value creation for shareholders.

“Given the implicit value and structure of the REA’s first and second non-binding indicative proposals, we considered these proposals to be uncertain, highly opportunistic and unattractive. Accordingly, the Board unanimously rejected them.

“The Board of Directors will continue to act on behalf of our shareholders and will respond to the most recent proposal in a timely manner.”

Rightmove shares rose 2.8% to the top of the FTSE 100 after the third offer emerged.