Financial news operator ADVFN has acquired the financial arm of Aussie media company Gumtree Australia.
The deal will see ADVFN paying AUD$ 6.5m (approx. $4.4m) for two websites – HotCopper and Stockhouse.
Both websites cater to the investing and trading niche but in separate markets.
HotCopper is the largest website for active investors in Australia. SimilarWeb data shows that over 90% of users are in Australia and New Zealand. The site is the second-most visited financial website in Australia as well.
The company is very similar to ADVFN’s main, namesake brand, providing market news and updates, as well as financial data and forums.
Stockhouse offers the same set of services but is focused on the Canadian market.
The sale is part of Gumtree Australia’s efforts to exist the financials vertical and focus on its core, classified ads businesses.
ADVFN has been in M&A mode for a while as well, having raised funds for that purpose over the last couple of years.
“As part of our ongoing transformation, we continue to streamline operations to focus on our core strengths in advertising and classifieds, and to exit businesses with a higher capital requirement,” said Tommy Logtenberg, Gumtree Group Managing Director. “ADVFN is recognised as a leader in the development and provision of financial information, and we are pleased that the Capital Markets Business will be part of ADVFN going forward given the strong business fit.”
