Seattle Company to Acquire Assets of Carmel Firm
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Seattle-based Porch Group Inc. (Nasdaq: PRCH), a provider of software for the home services and insurance industries, has announced plans to acquire the home warranty and home inspector software and services business of Residential Warranty Services Inc. in Carmel. The deal is valued at $33 million in cash and stock.
Porch Group announced the deal in its fourth quarter and full-year 2021 earnings report. During a March 1 conference call, Porch founder and Chief Executive Officer Matt Ehrlichman said the purchase price is more than three times RWS’ annualized revenue of $10 million.
“RWS is one of the key companies operating in the home inspection space, providing CRM software, recall check software and specific inspection-centric warranties for more than 1,000 home inspection companies. They also distribute full annual home warranty products through real estate agents across the country, which helps us move our warranty business and strategy forward,” said Ehrlichman. “For Porch, it’s just clearly a great fit after working as partners together for many years and strengthens our market-leading position in the strategic home inspection industry.”
The company tells our partners at the Indianapolis Business Journal the majority of RWS employees will join Porch, though a specific number was not given. The acquired company will continue to operate under the RWS brand.
The acquisition is expected to close early in the second quarter.