Porch Group to buy Allied Trust’s insurance operations for $200 million
Porch Group announced a definitive agreement to purchase Allied Trust’s carrier and managing general agency. The transaction, valued at roughly $200 million, is slated to close in the first quarter of 2027 pending regulatory approval. Porch expects the deal to add about $200 million of written premium and $25 million of adjusted EBITDA in the first full year after closing. The company also plans to launch an at‑the‑market equity offering to sell additional shares over time.
Why it matters
Porch says the acquisition will increase its written premium by $200 million and generate $25 million of adjusted EBITDA in the year following the close. The planned ATM program could provide flexible capital raising opportunities for the firm.
Key facts
- 1Porch will acquire Allied Trust’s carrier for a cash payment of $55 million, with a deferred component of $50 million payable over 12 months after closing. investing.com
- 2The managing general agency and captive reinsurance entity will be bought for a total of $95 million, consisting of $75 million in cash and an estimated $20 million in PRCH shares. investing.com
- 3The deal is expected to contribute roughly $200 million of reciprocal written premium and about $25 million of adjusted EBITDA (excluding the reciprocal) in the first full year after the transaction. investing.com
- 4Closing is targeted for the first quarter of 2027, assuming a January 1, 2027 effective date. stocktitan.net
- 5Porch plans to file for an at‑the‑market equity offering program that would allow periodic sales of PRCH shares. stocktitan.net
Summary written by AlphAI AI Desk from 4 of 4 sources. Not investment advice. Figures are as stated by the linked sources.