Proptech’s latest SPAC: Brivo to go public in $800m merger
The access control provider has announced a merger with Crown PropTech Acquisitions to become a publicly listed company valued at $808m.
Founded in 1999, Brivo has been a leading name in building security with more than 44,5000 customers across 300m sq ft of commercial real estate worldwide. Clients include Greystar, Whole Foods and DocuSign.
The platform has a range of access management tools, which include facial detection – something PlaceTech explored earlier this year – visitor and delivery management and data analytics.
Brivo said it expects to benefit from the “dramatic increase” in smart space adoption in recent years. Crown has been similarly optimistic about the product, saying that it recognises the “significant value Brivo brings to the ecosystem”.
Richard Chera, Crown’s chairman and CEO, added that he believes “there is a compelling opportunity to leverage our experience and relationships to further establish the company as the pre-eminent provider of cloud-based access control and smart building technology.”
Expected to close in the first half of 2022, the merger between Brivo and Crown PropTech Acquisitions will create a company – trading under the ticker symbol BRVS on the New York Stock Exchange – with an estimated value of $808m.
The deal will give Brivo $304m of capital, which includes $75m of private investment led by Golub Capital Credit Opportunities. That investment will drive the company’s growth plans over the coming years.
Brivo said it expects to generate $417m in revenue and an annualised $290m in annual recurring revenue in 2025.
Brivo’s management team, led by CEO Steve Van Till, will continue to operate and manage the combined company after the transaction.
Van Till said: “We are entering our next phase of growth as a public company supported by favourable secular tailwinds driving a smart spaces revolution, and Brivo is uniquely positioned to continue to capture the growing opportunity as we realise exceptional customer buy-in, continued expansion and high levels of retention.”
Richard Chera, chairman and CEO of Crown, said: “Brivo has demonstrated its value through its strong subscription revenues, retention rates, network of channel partners and successful land and expand strategy, creating a highly loyal customer.
“We look forward to supporting Steve and the team as they advance their strategic priorities.”
How proptech SPACs are performing
The list of proptech SPACs is steadily growing. Although some have yet to complete, there are a handful that are publicly traded. Here is how they are performing.
- First day of trading: 21 December 2020
- Price per share on first day: $31.25
- Latest price: $23.14
- Change: -30%
- First day of trading: 7 June 2021
- Price per share on first day: $11.27
- Latest price: $8.45
- Change: -25%
- First day of trading: 23 July 2021
- Price per share on first day: $14.20
- Latest price: $22.17
- Change: +56.1%
- First day of trading: 24 August 2021
- Price per share on first day: $12.10
- Latest price: $10.68
- Change: -11.7%
- First day of trading: 21 October 2021
- Price per share on first day: $11.78
- Latest price: $9.18
- Change: -22.1%