Kin Insurance, a homeowners insurance startup, is in talks to raise around $75 million to $100 million after it pulled the plug on a deal to go public via SPAC merger, three sources with knowledge of the matter.
Kin Insurance, a homeowners insurance startup, is in talks to raise around $75 million to $100 million after it pulled the plug on a deal to go public via SPAC merger, according to three sources with knowledge of the matter.: This is likely to be a good outcome for Kin. With the current disconnect between the private and public markets, some companies are choosing to spurn the volatile public realm for venture capital and private equity investors willing to offer better terms.
Earlier this month, fintech startup Acorns walked away from its own $2.2 billion SPAC merger, saying it plans to raise additional funding from the private markets at a higher valuation.: Markets have been especially harsh to insurtech companies, raising concerns that Kin will be unfairly battered if it goes public. Shares of companies like Lemonade have dropped like stones in recent months.: Existing investor QED is said to be leading the round, with other new names also participating.
The headline valuation is likely to be below $1 billion, the sources say. While that may look lower than the $1 billion-plus figure cited when the company announced its July SPAC deal, the outcome is comparable — if not better — for investors. That's in part because assumptions made in the proposed SPAC valuation are different from those made for this new round. SPAC valuations are, after all, a bit of a black box.
Kin's last private round of funding put the company's valuation at around $500 million — meaning, even without the SPAC, the deal represents a jump. Moreover, Kin won't have to give up shares to pay the sponsor.it is in the process of fundraising from the privates, but declined to comment on the specifics.: The disconnect between private and public market valuations is creating a rare kind of investor arbitrage.
France Dernières Nouvelles, France Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
Crypto exchange Apifiny goes public after $530 million deal with Abri SPACApifiny intends to bolster its blockchain technology tool offerings and regulatory transparency through the merger, expected to close in Q3.
Lire la suite »
James Gunn Confirms Guardians Of The Galaxy 3 Is The End For The TeamJames Gunn confirms GuardiansOfTheGalaxyVol3 will be the end for the original team. 'This is the end for us. This is the last time people will see this team of Guardians...'
Lire la suite »
New Ohio State athletic department COVID-19 policies put emphasis on booster shotsOhio State's new athletic department COVID-19 protocols put an emphasis on getting booster shots.
Lire la suite »
Minnie Mouse trading in iconic polka dot dress for pantsuitMinnie Mouse is getting a brand new outfit.
Lire la suite »
Man diagnosed with COVID-19 gets new heartDom Hill's Nov. 2020 COVID-19 diagnosis likely led to his need for a heart transplant.
Lire la suite »
TFT Set 6.5 leak potentially reveals new League of Legends champion, Renata - GamepurWe may be getting a new character who is also heading to League of Legends.
Lire la suite »