Compass Denies Report Of Private Equity Takeover

Compass Inc. denied a report earlier this week that stated the company is the target of a potential takeover from Vista Equity Partners.

“Compass has not been contacted by any private equity firms expressing interest in taking the company private,” a spokesperson for Compass told The Real Deal. “There have been no talks with private equity firms on this matter.”

Insider on Wednesday reported news of the possible takeover bid.

Compass Inc. is a real estate technology company that provides an online brokerage platform. It was initially founded in 2012 as Urban Compass by Ori Allon, Robert Reffkin and Avi Dorfman.

Insider reported that Vista was exploring the option to take Compass private, quoting three anonymous sources, also suggesting that another private equity firm might be involved in the deal.

Since news of the potential takeover, stock for Compass jumped 18%, according to Seeking Alpha. Since Compass' IPO in March 2021, share prices have dropped 86%.

Market consolidation by way of mergers and acquisitions among traditional brokerages has skyrocketed in the past decade, with notable mega-merger deals such as JLL's $2B acquisition of HFF in 2019, and DTZ’s $2B merger with Cushman & Wakefield in 2015.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's National Newsletters
Related Stories

'Aggressive' Antitrust Settlement Unwinds $100M Zillow, Redfin Deal

Trump's New Canadian Tariffs To Spike Additional Materials Costs

Wells Fargo Moves To Foreclose On $1.3B Workspace Property Trust Portfolio

Turner Construction Hit With Cyberattack, Hackers Claim Leaks Of Military Info, NDAs

Latest Round Of Fannie Mae Senior Staff Layoffs Has Multifamily Sector Anxious

Why Hines Is Restarting Its Development Engine

How Integrated Infrastructure Can Help AI Data Centers Deploy Faster, Build Smarter

Nvidia Buys Stake In Data Center Power Company

Invesco Cuts Fees, Adds Incentives To Quell Fund Redemption Requests

Investors Anchor Big Capital Into Marinas, Betting On Shallow Supply

Nike Closes 15 Stores Amid Tumultuous Year

Large Commercial Real Estate Sales Up 30% Despite Economic Headwinds