Porch Group announces two more acquisitions for a total of more than $94 million
Add two more companies and another $94.45 million to the tally of recent acquisitions by Porch Group.
The Seattle-based home services technology company on Thursday announced the acquisition of home warranty policy provider American Home Protect (AHP) of Plano, Texas, for total consideration of $45.85 million; and a deal to acquire California-based CSE Insurance for $48.6 million in cash, subject to approval by the California Department of Insurance.
These are the latest in a string of deals designed to expand Porch’s reach across geographies and home-services sectors. Other recent acquisitions include title software company Rynoh, of Virginia Beach, Va., for a total of $35 million; and Irving, Texas-based insurance company Homeowners of America for $100 million in cash and stock.
Porch provides enterprise software to home services companies in areas such as home inspections, moving, real estate, and insurance. Companies can pay recurring fees to use the software, or they can use the software for free if they agree to provide Porch with access to information about home buyers. Porch then receives transaction fees when connecting homebuyers to movers, insurance agents, home automation and security firms, TV/internet companies and other service providers.
Also today, Porch increased its revenue forecast for the full year to $187.5 million, from $184 million previously.
In the second quarter, Porch boosted revenue by 200% to $51.3 million. Its quarterly net loss widened to $16.3 million, vs. a loss of $6.3 million a year earlier. The company had $150 million in cash and equivalents as of June 30, vs. $196 million as of Dec. 31.
Porch became publicly traded at the end of 2020 through a merger with a special purpose acquisition company.