Latch to go public via Tishman Speyer’s SPAC

Deal values proptech startup at $1.56B

National /
Jan.January 25, 2021 09:29 AM
Tishman Speyer CEO Rob Speyer and Latch CEO Luke Schoenfelder (Getty; Latch)

Tishman Speyer CEO Rob Speyer and Latch CEO Luke Schoenfelder (Getty; Latch)

Tishman Speyer’s SPAC has found its match.

The New York real estate giant announced that its special-purpose acquisition company, TS Innovation Acquisitions Corp., will merge with smart-lock maker Latch, the Wall Street Journal reported. The deal would take Latch public with an expected valuation of $1.56 billion. When the deal closes — likely in the second quarter — the company expects to trade on Nasdaq under the symbol LTCH.

As part of the deal, Tishman is set to receive about 4 percent of Latch’s stake, or about $60 million.

Rob Speyer, Tishman’s chief executive, said the pandemic is pushing the spread of new technology in the real estate industry, which he said has been “technology-resistant for decades.”

“It’s hitting this period of massive disruption. It’s entrepreneurs like [Latch CEO] Luke [Schoenfelder] and companies like Latch that are leading this wave of disruption,” Speyer said.

Speyer, who will join Latch’s board of directors, said he hopes to use Tishman’s expertise and connections to help Latch expand into new countries and new building types, such as offices.

Latch launched in 2017, and also specializes in building-management software along with its smart lock technology. In 2019, it raised $126 million through a Series B funding round, which included investors like Brookfield and Tishman. At the time, it was valued at $454 million, per the Journal. It aims to be profitable by the end of 2024.

Several real estate companies launched SPACs last year, aiming to merge with proptech startups. Tishman’s blank-check company raised $300 million, while commercial real estate giant CBRE’s IPO target is $350 million. Most recently, the Chera family’s Crown Acquisitions announced it would raise $200 million through a SPAC that’s focused on proptech.

[WSJ] — Akiko Matsuda






    Related Articles

    arrow_forward_ios
    Ascena owns Ann Taylor, Lane Bryant, Lou & Grey and Cacique. (Getty)
    Ascena restructuring approved post-bankruptcy
    Ascena restructuring approved post-bankruptcy
    Apollo Global Management will take over craft retailer Michaels in a deal that values the company at $3.3 billion. (Wikipedia Commons, iStock)
    Craft retailer Michaels to go private in $5B deal
    Craft retailer Michaels to go private in $5B deal
     JLL CEO of capital markets Richard Bloxam and Roofstock CEO Gary Beasley (JLL, Roofstock, iStock)
    JLL gets in rental home business
    JLL gets in rental home business
    (iStock/Illustration by Alexis Manrodt for The Real Deal)
    Order up: Real estate investors line up to buy drive-throughs
    Order up: Real estate investors line up to buy drive-throughs
    (Getty)
    Hotel stocks went bonkers in February
    Hotel stocks went bonkers in February
    Homebuilding is largely responsible for the increase in construction spending. (Getty / Photo Illustration for The Real Deal)
    Construction spending hits new record in January
    Construction spending hits new record in January
    (iStock/Illustration by Kevin Rebong for The Real Deal)
    These are real estate executives’ worst worries for 2021
    These are real estate executives’ worst worries for 2021
    Best Buy has closed about 20 of its big-box stores in each of the past two years (iStock)
    Best Buy lays off 5,000 staffers, increases store closures
    Best Buy lays off 5,000 staffers, increases store closures
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...