Nov. 29 (Bloomberg) -- Trulia Inc., the real estate-information website, is teaming up with Web publisher Primedia Inc. as it expands in the online apartment rental listings market.
Primedia, the parent of ApartmentGuide.com, will give Trulia users access to more than 5 million rental listings in addition to those already available, the companies said today in a statement. Trulia is also taking over advertising sales for Primedia’s inventory.
Trulia, which first sold shares to the public in September, is rushing to enter new businesses as it takes on Zillow Inc. in the online real estate market. While revenue jumped 76 percent in the third quarter, Trulia hasn’t yet focused on generating revenue from listing rentals, according to Chief Executive Officer Pete Flint. He called the deal the most significant commercial relationship in Trulia’s seven-year history.
“We’re focused on building scale and an audience on the listings side,” Flint said in an interview. “In time we’ll be more focused on monetization.”
By becoming the sales force for Primedia’s advertising, San Francisco-based Trulia will reach more than 32 million monthly visitors, an increase of about 28 percent from its current audience, Flint said. Typically when someone rents an apartment they also need to furnish it, so there’s a whole set of advertisers that would want to reach those consumers, he said. The companies will share the revenue.
Trulia rose 1.4 percent to $17.25 at 9:45 a.m. in New York. The stock is little changed from its $17 initial public offering price.
Primedia, based in Norcross, Georgia, was purchased last year by an affiliate of private equity firm TPG Capital in a deal valued at about $525 million. TPG bought the company from buyout firm KKR & Co.
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