CoStar Group Ups Its Bid to Buy CoreLogic
The commercial real estate data giant upped its bid to acquire CoreLogic, which also provides real estate and mortgage data, by adding $450 million in cash to CoreLogic shareholders, CoStar announced Monday.
When CoStar previously tried to buy CoreLogic, the Irvine, Calif.-based firm entered into an agreement to be purchased by Stone Point Capital and Insight Partners instead for $6 billion. CoStar soon after made a competing bid for $6.9 billion in an all-stock buyout, while Stone Point and Insight’s offer was an all-cash deal.
Under the new increased bid, CoreLogic shareholders would get about $6 a share in cash along with 0.1019 shares of CoStar stock, worth about $97 per share, according to CoStar.
CoreLogic has been up for sale since last year after activist investors Cannae Holdings Inc. and Senator Investment Group launched a $7 billion effort to acquire the company, Bloomberg reported. The pair eventually pulled out in June after CoreLogic received higher bids.
CoStar started vying to pick up CoreLogic as part of its apparent quest to control all of the real estate industry’s data. It owns a slew of apartment listing sites and made some pricey purchases of data companies in recent years.
The Washington, D.C.-based CoStar bought commercial listing platform LoopNet in 2011 for $860 million, hotel data giant STR for $450 million in 2019, and commercial real estate transaction platform Ten-X for $190 million last year.
However, not all of its acquisitions have been successful. CoStar tried to buy RentPath last year for $600 million, but the deal fell apart in December after the Federal Trade Commission sued to block the sale.