HomeAdvisor Parent to Acquire Angie's List

Posted: Updated:
INDIANAPOLIS -

New York-based IAC (Nasdaq: IAC), the parent of HomeAdvisor, has announced plans to acquire Indianapolis-based Angie's List Inc. (Nasdaq: ANGI) and combine the two entities into one publicly-traded company. The deal has been approved by both companies' boards of directors and is expected to close in the fourth quarter.

The new company, ANGI Homeservices Inc., will maintain both the Angie's List and HomeAdvisor brands. The deal remains subject to approval by Angie's List stockholders and regulators. 

"After completing our comprehensive strategic review, we have found a true partner in IAC and HomeAdvisor that we believe will create tremendous shareholder value for Angie’s List," said Thomas Evans, chairman of Angie’s List. "Together, we uniquely benefit from the powerful combination of two market leaders, who, by joining forces, can drive incredible innovation, customer satisfaction and category growth."

The definitive agreement between IAC and Angie's List says, if the deal is approved, Angie's List stockholders will have the option to receive either one share of ANGI Homeservices common stock or $8.50 per share in cash for each share of Angie's List stock they own. The total amount of available cash in the transaction will be capped at $130 million. 

The combined company will be based out of HomeAdvisor's headquarters in Golden, Colorado. HomeAdvisor Chief Executive Officer Chris Terrill will assume the role of CEO of the ANGI Homeservices Inc. Joey Levin, CEO of IAC will serve as chairman of the company's board of directors, with Evans and Angie's List Co-Founder and Chief Marketing Officer Angie Hicks joining the board as well.

Angie's List first rebuked IAC's offer to acquire the company in November of 2015. IAC, which also owns digital properties including Tinder, Ask.com, the Daily Beast and College Humor, put in a bid of around $512 million in cash at the time. In rejecting the offer a year-and-a-half ago, CEO Scott Durchslag said it "dramatically undervalues the company and its long-term standalone prospects."

About a year ago, HomeAdvisor launched a new office in downtown Indianapolis and toward the end of the year, announced an expansion in the city.

Angie's List has been a long-time beacon of the state's growing tech scene and Angie Hicks last month was named 2017 Trailblazer Award winner for the annual Mira Awards by the state's high tech initiative, TechPoint. She received the trophy this weekend and will be featured along with other winners this week on Inside INdiana Business Television.

  • Perspectives

    • "Wood" You Consider Investing in Timber?

      Looking for an untraditional way to diversify your traditional stock and fixed-income portfolio? If so, try thinking outside the typical realm of investable assets. Don’t know where to start? How about going against the “grain” and investing in timber? Why Trees? Investing in timber can yield a number of benefits. The main draw of having timber in your portfolio is its low, long-term correlation to traditional investments such as stocks and bonds. Low correlation...

    More

Subscribe

Name:
Company Name:
Email:
Confirm Email:
HTML
INside Edge
Morning Briefing
BigWigs & New Gigs
Life Sciences Indiana
Indiana Connections
INPower
Subscribe
Unsubscribe

Events



  • Most Popular Stories

    • 1SI executives Matt Hall and Wendy Dant Chesser talked about the project on Inside INdiana Business.

      Momentum Building at 'Hot Spot' River Ridge

      As economic development officials in southeast Indiana welcomed news last week of Louisville-based PharmaCord's plans to invest $52 million and add up to 850 jobs at the River Ridge Commerce Center, they were quick to add there is more development on the horizon. River Ridge is a sprawling, 6,000 acre park located between Jeffersonville and Charlestown that was once home to the massive Indiana Army Ammunition plant and thousands of jobs. Today more than 50 companies call River...

    • Foppers CEO Michelle Leffurt (left) and Executive Director of National Sales Emily Gillam

      Logansport Company Selected in Walmart Open Call

      A Logansport-based dog treat manufacturer is one of several companies chosen to have their products sold on Walmart shelves. Foppers Pet Treat Bakery took part in Walmart's annual Open Call event, in which hundreds of small businesses and entrepreneurs pitched their products for the chance to sell them in stores. Foppers Chief Executive Officer Michelle Leffert says she was shocked to hear she was selected during the two-day event at Walmart's headquarters in Arkansas.

    • Colts Name Overton As Producer

      The Indianapolis Colts have named Larra Overton as the team's new producer and on-air talent. Overton currently is a sports reporter and anchor for Fox59 WXIN/CBS4 WTTV. She will serve as producer for Colts Productions and will serve as the television sideline reporter for preseason broadcasts and radio sideline reporter for regular season games. Overton holds two degrees from Indiana University. 
    • Bethel University Names CFO

      Bethel University has named Jerry White as vice president for administration & finance and chief financial officer. White most recently served as COO at Culver Academics and will begin his new duties on August 19. He has nearly two decades of business and finance career experience with prior positions as vice president for finance and administration at Albion College and as vice president at Spring Arbor University. 

    • Stacy Deitrich

      MutualFirst Adds Deitrich

      Muncie-based-MutualFirst Financial has appointed Stacy Deitrich loan originator at the bank's subsidiary, Summitmortgage in St. Joe, Michigan. She has worked in the mortgage lending industry for ten years.