Australian-listed property technology company, Openn Negotiation Limited (ASX: OPN), has entered into commercial arrangements with RP Data Pty Ltd trading as CoreLogic Asia Pacific a leading provider of online property information and analytic services the Australian and New Zealand property markets.
The agreement will provide for an expansion to the pilot designed to integrate Openn’s proprietary software into CoreLogic’s onthehouse.com.au website.
CoreLogic is a leading provider of property analytics and data in the Australasian market. CoreLogic owns and operates onthehouse.com.au, a property research website which provides information about homes for sale, apartments for rent, market insights and trends to help consumers with decisions about where and when to buy, sell or rent.
The trial integration process was announced to the ASX on 21 August 2021. Over that period the trial expanded in volume and depth of integration where both companies confirmed they had succeeded in demonstrating a unique and compelling proposition for their mutual customers. This new commercial arrangement has now been expanded to allow several of Openn’s products to be offered to CoreLogic’s subscriber base of over 9,000 real estate agencies.
The deal involves the further integration of the Openn Platform into the onthehouse.com.au website as well as advertising support from CoreLogic of Openn’s products to its users.
The ‘all in one’ real estate research site delivers access to approximately 4,000,000 visitors per month and provides potential for Openn’s transparency-enabling technology to become available to listings on the onthehouse.com.au website.
The consideration payable is in the form of a revenue share arrangement, under which Openn will provide to CoreLogic 20% of the gross revenue from the upload fees generating from CoreLogic’s advertising support. The commercial arrangements will continue until validly terminated in accordance with the agreements. The agreements otherwise contain provisions that are usual for transactions of this nature.
At this stage, an accurate estimate of the revenue, or value of the collaboration is not yet determinable due to unknown factors including, and not limited to the future property market and property listings growth. The arrangement between Openn and CoreLogic is not a general law partnership.
Aside from the potential to offer Openn’s technology to CoreLogic and onthehouse.com.au audiences, this commercial collaboration also has the potential to present further opportunities to monetise data captured within the Openn ecosystem. As the leading provider of market research, CoreLogic provides analytics to a wide range of professional groups with unparalleled access to the property insurance, banking and mortgage broking industries.
This is a material expansion to the previously announced pilot integration with onthehouse.com.au and CoreLogic. Since listing on the ASX in July 2021, we have articulated a pathway to achieve 5% market share in the total addressable housing market in Australia and New Zealand. This collaboration will help to deliver on this goal which will in turn, open up significant opportunities with regard to use of the unique, real-time data that Openn’s technology enables,” Openn Managing Director, Peter Gibbons, said.
“The development of the commercial relationship between CoreLogic and Openn is clear evidence that the ‘behind- the scenes’ work being done by our technical team on several pilots announced domestically and in North America in the last 12-18 months will result in meaningful financial outcomes for Openn.”
