Residential real estate platform Doma and Capitol Investment V announced plans for a business combination that values the enterprise at $3 billion.
The transaction is expected to provide up to $645 million in cash, including a fully committed $300 million PIPE and up to $345 million of cash held in the SPAC’s trust account. Investors anchoring the PIPE include funds and accounts managed by BlackRock, Fidelity Management & Research Company, The Gores Group, Hedosophia, SB Management, a subsidiary of SoftBank Group Corp., and Wells Capital. Existing Doma shareholder, Lennar, has also committed to the PIPE and Spencer Rascoff, co-founder and former CEO of Zillow Group, has committed a personal investment to the PIPE.
Existing Doma shareholders will own approximately 80 percent of the equity of the new company. Upon completion of the transaction, Doma will add up to approximately $510 million of cash to its balance sheet.
Formerly known as States Title, Doma said it is designing the future of residential real estate transactions “by overhauling the current system and building a better one based on what today’s consumers expect: a simple, digital, and frictionless experience.” Read more.
