Porch Group, Inc. (NasdaqCM:PRCH) entered into definitive agreement to acquire Certain Businesses Relating to Home Warranty Products and Inspector-centric Software and Services from Residential Warranty Services, Inc. for $33 million on February 28, 2022. The consideration consists of $29 million of cash, $4 million of Porch stock and additional contingent consideration tied to the performance of a recently launched business line. Of the total consideration, $4.95 million was paid at signing. The portions of the RWS acquired businesses involving warranty operations in each of California and Florida are subject to regulatory approval, and as such a portion of the purchase price will be deferred until approval is received for California and for Florida. The transaction is expected to close early in quarter two of 2022. Joshua G. DuClos and Michael Rosenfield of Sidley Austin advised Porch Group in the transaction.

Porch Group, Inc. (NasdaqCM:PRCH) completed the acquisition of Certain Businesses Relating to Home Warranty Products and Inspector-centric Software and Services from Residential Warranty Services, Inc. for $42.3 million on April 1, 2022. Porch paid $25.572 million in cash, $3.552 million by issuance of common stock. Additionally, $1.0 million will be held in escrow for 24 months to satisfy potential indemnifications and $8.9 million in contingent consideration based on specific metrics. Porch Group also assumed $8.16 million of debt and $2 million of cash of the acquired business.