The Daily Mail group is to merge its online property business with an independent rival in a bid to take on market leader Rightmove.

Findaproperty.com and primelocation.com, which provide the online property portals for Northcliffe’s regional newspaper titles, are to merge with Zoopla.

DMGT’s consumer media division A&N Media will own a 55pc stake in the newly-merged company.

Zoopla is currently privately-owned with venture capital interests as its largest shareholders. It recently announced a deal to power the online property offering for regional publisher Johnston Press.

DMGT said in a statement:  “In a market that has had a single dominant player in Rightmove for many years, this will create a viable and effective alternative for estate agents and housebuilders across the UK.

“For consumers, the combination will provide significantly greater coverage of property listings and enhanced features to help make better-informed decisions in the UK residential property market.”

Martin Morgan, chief executive of DMGT added: “This merger will create a genuine opportunity to challenge the dominant market leader in the online property sector.

“We believe that the combination of our respective digital property assets will benefit both consumers and clients.”

The deal is subject to approval by the Office of Fair Trading.