(Bloomberg) — Funds managed by Stone Point Capital and Insight Partners have agreed to buy the real estate data firm CoreLogic Inc. in a deal with an equity value of about $6 billion.
Stone Point and Insight are acquiring the company at $80 a share, a 51% premium to CoreLogic’s “unaffected share price” on on June 25, according to a statement on Thursday.
CoStar Group Inc. recently submitted a bid that would have valued CoreLogic at about $6.7 billion, while Warburg Pincus also made an all-cash bid for the firm. The shares closed at $80.78 on Wednesday.
The deal announcement comes as the U.S. housing market booms, fueled by historically low mortgage rates. The buying and refinance frenzy has ignited interest in real estate technology. CoreLogic’s data made the company an appealing target.
“CoreLogic is a mission critical vendor and data provider across industry sectors in which Stone Point has specialized over the past 20 years, including mortgage, residential real estate and P&C insurance,” Chuck Davis, chief executive officer of Stone Point Capital, said in the statement. “CoreLogic’s proprietary data assets are increasingly important to its customers, and we look forward to leveraging our network within the broader financial services industry to support the company’s next phase of growth.”
Irvine, California-based CoreLogic launched a strategic review in November in the amid a boardroom battle with investors Cannae Holdings Inc. and Senator Investment Group. The duo subsequently won three seats on CoreLogic’s board.
The investors had offered to buy the company in June but pulled out of the sales process after CoreLogic said it had received indications of interest at $80 or above. The duo, which said they weren’t interested in acquiring CoreLogic at that price, had offered $66 a share to buy the company.
(Updates with quote from Stone Point CEO in fifth paragraph.)
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