Realogy's IPO – Will it Measure Up?
**Note: Post below was written on 10/10/2012, before the IPO. According to reports, the public offering was a success, with stock soaring as high as $34.90 on its opening day**
Those watching the New York Stock Exchange on Thursday morning will see a new ticker,”RLGY” as the real estate franchise giant, Realogy Corp., goes public. And after a long, somewhat tumultuous history of being owned (directly and via affiliates/subsidiaries) by hedge fund Apollo, some say that it’s the right time for Realogy to have more control over its future.
As Realogy’s franchises include Sotheby’s International Realty, Coldwell Banker Real Estate, Better Homes and Gardens Real Estate, Century 21 Real Estate, and ERA Real Estate, among others, it could be easily argued that the success or failure of the IPO will be reflective of the public’s confidence in the housing recovery. As recent real estate aggregator Trulia raised over $89M in the past month through its own IPO’s and Zillow raised an additional $156.7M in its second offering, it will be interesting to see if Realogy, with its real estate conglomeration business model, can also succeed.
Announcing its initial public offering priced at $27 per share, the RLGY ticker will be one to watch.
Patrick HakePosted at 06:27h, 18 October
It will be interesting to see what they plan on using all that funding for. Will we see a major online or offline advertising push from thier brands? Or maybe they will start buying more of their brick and morter locations rather than leasing them. I hope I don’t have to fight them in the SERPS sometime soon. Its bad enough having to go after Trulia, Zillow and Realtor.com
Alex CortezPosted at 14:11h, 18 October
Patrick, it is said that the funding will go into debt-repayment, for which they are billions in the red.
http://www.stlrealestate.comPosted at 18:26h, 25 October
I am interested to see how this holds up over the long term – especially in another six months or so when the insiders are allowed to start selling their shares.