Director dealings: Company associated to Purplebricks director takes massive stake in firm

Axel Springer, a business closely associated with Purplebricks' non-executive director Dr Andreas Wiele, acquired 3m ordinary shares in the AIM-listed group on Monday.

Axel Springer, where Wiele has been a member of the executive board since 2000, purchased the shares in the "hybrid estate agency" at an average price of 307p for a total value of £9.2m.

Earlier on Monday, Purplebricks finalised its acquisition of Canadian real estate group DuProprio/ComFree for CAD $51m in cash.

DPCF owns and operates one of Canada's leading commission-free real estate service networks as an online offering with similar aspects to Purplebricks.

It has a 20.2% share of the real estate market in Quebec and has more recently launched into new territories, with a 2% share in Ontario and 2.3% in Western Canada.

Purplebricks said the business presents attractive opportunities to quickly grow market share in Canada, enhance customers' experience through its market-leading model and technology and start capitalising on an extensive buy-side revenue opportunity there.

In addition, it said the valuation is attractive based on DPCF's strong market position in the Canadian real estate sector, "impressive" revenue growth since launch and its underlying profitability.

As of 1600 BST, Purplebricks shares had gained 1.49% to 328p.