E-conveyancing and digital settlement platform PEXA Group Limited (PEXA) has confirmed that its data business, PEXA Insights, intends to acquire a 38 per cent interest in the property start-up, Landchecker.
Founded in 2015, Landchecker is a self-described “all-in-one source of property information”, designed to further inform professionals and home owners about property via data analysis.
Its functions are said to include providing information about planning restrictions, property history and comparable sales nearby, as well as approximating land size, boundaries and dimensions.
This data is monitored and refreshed daily, supplied from sources that include state governments and local councils.
The proptech group’s investment is being made in tandem with the Royal Automobile Club of Victoria (RACV), which will be retaining a 51 per cent equity interest in Landchecker.
PEXA’s investment is expected to be completed later in February 2022.
This is said to be the first strategic investment of the PEXA Insights business.
PEXA chief data and analytics officer Scott Butterworth said that, like PEXA Insights, Landchecker’s data is trusted and “used by thousands of property professionals every day”.
“We aim to provide a richer service offering to our customers, and we believe that the synergies between the two companies will enhance PEXA’s position as the trusted resource for robust, real-time data,” Mr Butterworth said.
RACV chief executive and managing director Neil Taylor commented that RACV has been an investor in Landchecker for a number of years, and that the insurance body is “excited by the opportunities this increased investment presents, both in terms of helping our members and customers make informed decisions when purchasing property, as well as working closely with a new strategic partner PEXA”.
In 2018, RACV invested in a $1.85 million funding round into Landchecker, growing its stake in the start-up to 13.5 per cent.
Founder and director of Landchecker, Will Leaf, said that the founders, CEO Adam Gandolfo and the entire Landchecker team are all “very excited about this transaction with PEXA and RACV”.
“Working alongside these successful organisations will ensure Landchecker continues to successfully develop its offerings in pursuit of its aim, to become the most current and accurate property information business, trusted by businesses and consumers for property insights and data driven decision making,” Mr Leaf said.
PEXA’s announcement of its 38 per cent stake in Landchecker is coupled with the group publishing its financial results for the first half of the 2022 financial year, ended 31 December 2021.
According to the figures, PEXA saw a 37 per cent increase in PEXA Exchange volumes over the half, growing to 2.1 million.
This figure is equivalent to 60 per cent of PEXA’s FY22 prospectus volumes, lifting revenue by 46 per cent for the settlement platform over this six-month period to $145.4 million.
The group has expressed that its FY22F prospectus revenue forecast is currently $246.9 million.
PEXA CEO and managing director Glenn King said: “The Company’s growth trajectory continued over the first half of FY22. Our PEXA Exchange platform has continued to perform strongly, with the positive property market conditions of FY21 continuing into FY22.
“Our strategy to build on PEXA’s position as the operator of Australia’s leading digital property settlements platform is delivering attractive results. We now expect to materially exceed previous Prospectus guidance across FY22 and have increased guidance across all key earnings metrics.”
[Related: PEXA goes live in ACT]