(Adds trading, reaction)
LONDON, June 18 Shares in Zoopla
started trading 5 percent above the initial public offer price
on Wednesday, as rising confidence in the country's housing
sector helped the property website achieve a valuation of near
to 1 billion pounds.
Zoopla, which was majority owned by Daily Mail And General
Trust, priced its offering at 220 pence per share on
Wednesday, after initially setting the range at 200 to 250
In conditional trading, the shares were up 4.5 percent at
230 pence, valuing the group at 960 million pounds ($1.6
billion). The offer represents 38.3 percent of the company's
issued share capital, with no new shares being issued.
Daily Mail and General Trust said it planned to retain a
stake of at least 31 percent in Zoopla, having held around 52
percent before the flotation. Its shares were up 2.5 percent.
Zoopla, which was launched in 2008, trails Rightmove
in the online property sector, drawing more than 40 million
visits a month to its websites and mobile applications, compared
with about 80 million visits for its larger rival.
Shares in Rightmove were up 2.6 percent, valuing it at 2.2
Zoopla joins a rush of companies seeking to join the London
market and follows recent listings by online groups AO World
and Just Eat and property agent Foxtons
($1 = 0.5956 British Pounds)
(Reporting by Kate Holton; editing by Sarah Young)