Airtasker completes Oneflare acquisition after ACCC withdraws concerns

Airtasker completes Oneflare acquisition after ACCC withdraws concerns

Airtasker co-founder and CEO Tim Fung.

Leading online services marketplace Airtasker (ASX: ART) has completed the acquisition of competitor platform Oneflare for $9.8 million after receiving the green light from the Australian Competition and Consumer Commission (ACCC).

Airtasker announced the proposed acquisition to the market on 4 May, but confirmed the deal had been delayed a week later following enquiries from the competition watchdog.

"We're so thrilled to complete the acquisition of Oneflare - a quality asset which will help Airtasker offer our customers access to an even greater range of local services and faster response times whilst creating more job opportunities than ever before,” Airtasker CEO Tim Fung said.

“By acquiring Oneflare, we also accelerate a push into higher-value service categories including trades, home improvement and professional services in service of our mission: to empower people to realise the full value of their skills.”

The Sydney-based company also announced today it has completed a $6.25 million capital raise from institutional and sophisticated investors, following confirmation from the ACCC that it would not be conducting a public review of the acquisition.

Airtasker had intended to launch a $1.2 million capped share purchase plan (SPP) for eligible retail shareholders in Australia and New Zealand at the placement price. However, given that the company's share price is below the $0.43 price per share agreed for the placement, the board has decided to withdraw the SPP as current shareholders can acquire shares in the company on the market at a lower price.

Founded in 2011, Oneflare is the third-largest local services platform which serves 540,000 customers and 14,500 verified businesses annually, particularly in the trade, home improvement and professional services spaces.

Airtasker expects the acquisition of Oneflare to enhance its customer experience and deliver platform synergies by strengthening network effects, unlocking high-value trade opportunities, and providing a single ‘one-stop-shop’ technology platform.

The purchase price of $9.8 million includes $7.55 million in Airtasker shares, issued at $0.43 per share - a 15.9 per cent discount on the company’s trading price the day before the deal was announced of $0.51 per share - and $2.25 million in cash.

Having dropped by more than a quarter during the past month, ART shares are up 8 per cent today to $0.40 per share at 12.19 AEST.

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