Stocks of Trulia (NYSE:TRLA) and Zillow Are on A Rise FTC Approval Anticipated

Trulia (NYSE:TRLA) and Zillow (NASDAQ:Z) are planning to merge together. Chances are that the FTC will give its approval to the merger of both these companies. If the deal goes through smoothly, the tie-up will create one of the biggest companies in the arena of online real estate. The tie-up will be reporting strong figures, for the big clients of both the companies will come together then. Zillow (NASDAQ:Z) remained outside the triple digital for a week.

However, the stocks are back in triple digits, after gaining 14 percent on January 25, 2015. The company is currently trading at $111.89. On the last trading day of Friday, January 23, 2015, the stocks closed at $105.93 after gaining 8.21 percent. The shares of Trulia (NYSE:TRLA) also gained 16 percent and went up to $49.22. The stocks lost their momentum for a while and finally closed at $46.55 with a total gain of 9.84 percent. According to the report relased by Seeking Alpha, chances are that the regulatory agencies are willing to give the merger deal a go-ahead.

In the meantime, a spokesperson from Zillow (NASDAQ:Z) refuted the news. According to the person, there was no news to disclose. The source further said that the company is cooperating with the investigation of FTC right now. News has it that both the companies have agreed to conclude the deal after the first quarter of the year 2015 so that FTC has enough time to review the deal properly. Brad Inman, a market researcher, is of the view that the companies will get the approval for sure.

As for now, the Federal Trade Commission has neither admitted nor denied to the news. The companies offer brokers a portal in order to display their house listings. Trulia and Zillow have gained quite goodwill in the business, and are no doubt one of the biggest names in the industry now. The major source of income for both the companies is the charges that agents have to pay in order to get their contact information and listings in the searches of web users.

Zillow will be acquiring Trulia for a total of $2.9 billion. The FTC is currently investigating as to whether the acquisition will be against the anti-trust and monopoly laws or not. If the Commission finds out that the deal can impact the anti-competitiveness in the online real estate business, the merger will not be allowed. If, on the other hand, the deal goes through smoothly, the advertising revenues of both the companies will increase by many folds.

The stocks of Zillow were opened at $101.55 on January 23, 2015 and closed at $105.93, after hitting the highest price of $111.89. Zillow (NASDAQ:Z) has a market capitalization of $4.31 billion. Trulia Inc. (NASDAQ:TRLA), on the other hand, started its stocks at $44.93 and closed at $46.55, after reaching the highest value of $49.22. The company has a market capitalization of 1.76 billion.