Casago, a trip rental property administration firm, and Vacasa, a North America based mostly trip rental administration platform, have signed a definitive merger settlement.
Beneath the phrases of the deal, Casago will buy all excellent shares of Vacasa at $5.02 every, topic to changes detailed within the merger settlement.
This transfer goals to merge their respective strengths and speed up progress in the direction of a shared imaginative and prescient of superior house care, income for householders, and hospitality for friends.
The all-cash transaction will create what’s described as an unmatched trip rental administration platform, combining worldwide model benefits with native administration’s personalised care.
Casago founder and CEO Steve Schwab stated:“Casago has all the time been dedicated to delivering personalised, locally-empowered service to householders, and distinctive experiences to friends. We’re excited to merge with Vacasa, an organization that shares our dedication to excellence.
“Collectively, we’ll strengthen our potential to ship constant service high quality on a world scale, leveraging our mixed sources and experience to higher serve our householders, friends and companions.”
Roofstock has offered fairness commitments for the transaction and will likely be traders within the merged entity.
Roofstock’s involvement brings substantial actual property experience and software program options which have already assisted over 300,000 property homeowners and practically a million items.
Vacasa stockholders will obtain $5.02 per share upon completion of the transaction, which represents a big premium over the corporate’s current common share costs.
Notably, current shareholders Silver Lake, Riverwood Capital, and Stage Fairness will preserve minority investments post-merger.
The transaction is anticipated to shut in the direction of the top of Q1 or early Q2 2025, topic to customary closing situations and approval by Vacasa’s shareholders.
Earlier in 2024, Vacasa’s Board advisable reviewing strategic options.
A Particular Committee was shaped in June 2024 to supervise this course of.
After an intensive analysis and receiving a equity opinion from an unbiased monetary advisor, the Particular Committee advisable board approval for the merger.
In preparation for the merger, Vacasa amended its tax receivable settlement to halt funds associated to the transaction.
It additionally revised its revolving credit score facility to keep away from triggering a default resulting from change in management.
Help agreements have been entered with sure rollover stockholders.
After completion, Vacasa will delist from Nasdaq and turn into privately held.
