Oxfordshire proptech firm Smoove acquired in £31m deal

Australian property firm PEXA Group has acquired Smoove in a deal with £30.8m.

Smoove, based in Thame offers a suite of digital products which  introduce residential property customers to conveyancers, lenders and brokers.

The company has been acquired by Digcom, the UK subsidiary of PEXA Group in a takeover which will see shareholders receive 54 pence for each Smoove share, valuing the capital of Smoove at approximately £30.8 million.

READ MORE: Oxford’s Smoove in preliminary takeover talks with PEXA Group

Glenn King, PEXA Group's CEO and managing director, said: "The acquisition is aligned with PEXA Group's strategy of enhancing and leveraging our property exchange know-how to deliver growth from different markets, including in other Torrens title jurisdictions, starting with the UK.

"Since entering the UK market, the PEXA Group has launched its first remortgage product, successfully brought two lenders onto the PEXA platform and acquired and progressed integration of specialist re-mortgage conveyancer, Optima Legal.

"The acquisition and integration of Smoove into the PEXA UK business will further help us address the many detriments suffered by consumers due to the UK's fragmented, inefficient conveyancing processes. The acquisition will allow us to build additional scale and depth in the UK market, enabling the PEXA product suite to reach more customers, whilst streamlining and improving the UK property transaction experience."

Established in 2010, PEXA is the operator of a digital property settlements platform in Australia which has facilitated over 13 million property transactions to date with the acquisition expected to be completed by the end of this year.

PEXA established Digcom in 2020 to enable it to enter the UK property market.

The PEXA Group launched its initial remortgage offering in the UK in September 2022 following the successful testing of the PEXA settlement payment solution with the Bank of England.

Shortly after the UK launch, Digcom acquired Optima Legal, a remortgage conveyancing firm that provides legal services in the UK remortgage market. A sale and purchase platform due to launch in 2024.

Martin Rowland, chairman of Smoove, said: "Both Smoove and PEXA share a common objective, to simplify and improve the home moving experience for consumers. The acquisition of Smoove by Digcom accelerates execution of the plans for both Smoove and PEXA. Whist the board of Smoove continues to believe in Smoove's strategy and prospects as an independent company, they believe that the combination may provide Smoove with additional scale and help accelerate its plans to materially change the home moving experience."