Shares of iProperty Group Ltd (ASX: IPP) enjoyed a stellar run during July over which time the stock soared 23%, ending the month at $2.96.
iProperty Group is Asia's top ranked online property group with market-leading positions in Malaysia, Hong Kong, Thailand and Indonesia (it is also becoming a force to be reckoned with in Singapore). Indeed, it draws many comparisons to its fellow ASX-listed online classifieds business REA Group Limited (ASX: REA), which happens to own a significant portion of the $550 million business.
In fact, REA Group's ownership is largely the reason behind iProperty's surge during the month. In an announcement to the market on July 21, iProperty stated that REA Group had increased its stake in the business from 19.9% to 21.33%, acquiring just under 2.9 million shares.
Not only does that highlight REA Group's confidence in iProperty's long-term prospects, it also raises the prospect of iProperty Group becoming a takeover target – especially if it continues to post impressive earnings results.
The company's shares have retreated 2 cents since the beginning of the month to trade at $2.94, and now could be a great opportunity for long-term shareholders to begin building a position.
