IAC's HomeAdvisor To Merge With Angie's List

(RTTNews) - IAC/InterActiveCorp (IAC) and Angie's List Inc. (ANGI) said that they have entered into a definitive agreement to combine IAC's HomeAdvisor and Angie's List into a new publicly-traded company, to be called ANGI Homeservices Inc.

The transaction has been approved by the Boards of Directors of both companies, and is expected to close in the fourth quarter of 2017.

As per the terms of the agreement, Angie's List stockholders will have the right to elect to receive either one share of Class A common stock of ANGI Homeservices Inc. or $8.50 per share in cash, for each share of Angie's List stock that they own, with the total amount of cash available in the transaction capped at $130 million. Depending upon the number of Angie's List stockholders electing to receive cash, upon completion of the transaction, IAC will own between about 87 percent and about 90 percent of the equity value of the combined company.

HomeAdvisor CEO Chris Terrill will assume the role of CEO of ANGI Homeservices Inc., whose headquarters will be based out of HomeAdvisor's Golden, Colorado location. IAC CEO Joey Levin will also serve as Chairman of the Board of Directors. Thomas R. Evans, current Chairman of the Board of Directors of Angie's List, and Angie Hicks, Angie's List co-founder and CMO, are expected to join the board of ANGI Homeservices Inc.

IAC will designate a majority of the initial members of the Board of Directors of the combined company. The transaction, which is subject to the satisfaction of customary closing conditions, including regulatory approvals and the approval by Angie's List stockholders, is expected to close in the fourth quarter of 2017.