VISTAinfo and Moore Corporation Ltd. announced today that they have signed definitive agreements to create a strategic partnership under which VISTAinfo will acquire Moore's real estate businesses, which include the CyberHomes Internet residential real estate listings service and Moore Data Management Services (MDMS), a leading provider of real estate agent and broker desktop productivity, marketing and multiple listing service (MLS) management software and services.

The strategic partnership and the combined businesses will deliver unprecedented value to real estate professionals and consumers through the Internet. The combination is expected to revolutionize how all parties, including brokers, agents and consumers, participate in real estate transactions.

The combined entity will have more than 800 employees throughout North America, in excess of $100 million in revenue in 1999 and daily access to more than 300,000 agents and key real estate franchise and related industry relationships, and will be dedicated to enabling real estate transactions over the Internet.

Tom Gay, president and chief executive officer of VISTAinfo, said: "This acquisition brings three key elements of every real estate transaction together in one company. MDMS offers its proven Internet-enabled real estate agent and broker support and development organization, which recently launched the most successful Internet-based real estate MLS system in North America and directly supports over half of the largest MLSs in the country.

"CyberHomes brings the most sophisticated and accurate consumer-oriented MLS residential listing site available on the Web today. And VISTAinfo provides the largest database of essential property due diligence and disclosure information available in the real estate world to consumers and many of the largest financial, insurance and engineering companies in the United States."

Ed Tyler, president and chief executive officer of Moore Corporation Ltd., added: "The combined company has the power to drive 'frictionless commerce' in the new Internet economy, dramatically improving the efficiency and effectiveness of real estate and related transactions.

"Together, VISTAinfo, MDMS and CyberHomes can offer real estate and related industry professionals an unprecedented range of essential information and services, which will enable our clients to better serve their customers and close transactions quickly and efficiently."

Gay continued, "By combining MDMS's market-leading technology solutions for the residential real estate industry with VISTAinfo's technology and proprietary databases of real estate, environmental and insurance underwriting information, we create a new company that strengthens all of our online Web offerings and provides real estate professionals with the richest product and service portfolio in the burgeoning Internet-based real estate industry.

"Our goal is to bring VISTAinfo's services to consumers and real estate professionals through MDMS and CyberHomes, as well as to add new services and increase the value that agents and brokers can deliver to the real estate transaction."

The strategic partnership will use the Web to connect consumers, real estate professionals and companies in the financial, insurance, legal, environmental and related home services industries in innovative new ways that help each group more effectively participate in the real estate transaction.

"A recent study by the Yankee Group showed that consumers' willingness to shop for homes and related services via the Internet is growing rapidly: 90% of those planning to buy a home in the next year expect to use an online information listing service to research properties and 40% expect to apply for a mortgage on line.

"These trends underscore the importance of our joint goal to ensure that the real estate agent and broker plays an increasingly vital part in every transaction," Gay said.

He said that VISTAinfo also expects to leverage the power of Moore's Internet-based variable printing technologies to develop proprietary lead management programs for customers throughout North America.

Gay noted that in addition to millions of home buyers and sellers, the combined customer base will comprise large multiple listing service (MLS) boards throughout North America; premier real estate franchises, including Century 21 and RE/MAX; such leading insurance underwriters and financial institutions as State Farm, AON, and Bank of America, as well as leading engineering, real estate appraisal and banking industry trade groups.

The transaction is expected to close in the third quarter. Under the agreement, Moore Corporation Ltd. will receive more than $57 million in consideration for CyberHomes and MDMS, including an equity interest of approximately 10-15% in VISTAinfo.

"This transaction signals Moore's continued commitment to the real estate industry. Our significant equity stake is also a vote of confidence in VISTAinfo's continued success," Tyler said.

Published: July 29, 1999

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