May 3, 2012
The transaction follows a Federal Trade Commission consent order intended to create a national competitor to the merged CoStar Group and LoopNet entity.
Xceligent’s founder and management team has partnered with dmg :: information (dmgi) to purchase the company from LoopNet and other investors.
As a result of the transaction, dmgi will provide Xceligent necessary funding to complete its expansion covering the largest 65 U.S. markets within 36 months, and the remainder of the United States thereafter.
“We are excited to add Xceligent to our portfolio of companies focused on the property information sector,” said CEO Suresh Kavan of dmgi, a Stamford, Conn.-based division of London’s Daily Mail and General Trust Plc (DMGT). “Our partnership allows Xceligent to rapidly expand their outstanding products and information into the largest U.S. markets.”
Doug Curry, Xceligent’s founder and CEO commented: “When the CoStar- LoopNet merger was first announced, real estate companies across the country reached out to us to see if we could quickly match the footprint of the combined entity. With their vision of the commercial real estate sector as well as their experience in growing information companies and financial resources, it was evident dmgi was the ultimate partner for Xceligent and the industry. Leveraging dmgi’s proven track record of growing companies in the property sector with our experienced team creates an opportunity to change the landscape of commercial real estate information.”
The market for information on commercial real estate is both large and fragmented. As a consequence of this large opportunity, over the last several years, dmgi has acquired a number of property information companies including: Environmental Data Resources (EDR), Landmark (in the UK) and Trepp. dmgi also has strategic investments in Real Capital Analytics (RCA) and BUILDFax.
Kavan concludes: “Real estate is such an important asset class and we believe that Xceligent will be able to bring a level of transparency to commercial real estate that will benefit a number of stakeholders in the commercial property sector, including real estate agents, brokers, investors, owners, financial institutions, appraisers and government agencies.”
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