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Gumtree Australia Sells Capital Markets Business to ADVFN

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Gumtree Australia Sells Capital Markets Business to ADVFN

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Market Herald Ltd ( (AU:GUM) ) has shared an announcement.

Gumtree Australia Markets Limited has entered into a binding agreement to sell its capital markets businesses, HotCopper in Australia and Stockhouse in Canada, to ADVFN Limited. This divestment is part of Gumtree’s strategy to focus on its core advertising and classifieds operations, reduce debt, and enhance cash resources for new initiatives. The sale is expected to generate $2 million in cash and reduce the company’s overall debt by $4.8 million. The decision aligns with the company’s long-term growth strategy and aims to make the company more attractive to investors by simplifying its investment narrative.

More about Market Herald Ltd

Gumtree Australia Markets Limited operates in the online marketplace industry, focusing on advertising and classifieds. The company is streamlining its operations to concentrate on its core strengths and reduce involvement in businesses with higher capital requirements.

Average Trading Volume: 29,131

Technical Sentiment Signal: Sell

Current Market Cap: A$28.89M

See more insights into GUM stock on TipRanks’ Stock Analysis page.

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