RealPage to Acquire Hipercept

RealPage, Inc. (NASDAQ:RP), a leading global provider of software and data analytics to the real estate industry, today announced that it has agreed to acquire substantially all of the assets of CRE Global Enterprises, LLC, a holding company for Hipercept. Hipercept provides data services and data analytic solutions to institutional real estate owners with over $500 billion in assets under management operating in the US, Asia, Canada and Europe, addressing the incredibly complex problem of aggregating, reporting and benchmarking real estate across multiple asset classes, property management platforms and external data sources. Clients include major banks, pension funds, insurance companies and asset management firms. Hipercept supports these clients with offices in New York, Boston, Medellín and London.

In addition, Hipercept offers both a cloud-based commercial and multifamily real estate valuation cash flow forecasting product called FUEL (www.fuelcre.com), and an extensive data warehouse, data governance and analytics platform called Foundation. Upon completion of the acquisition, which is expected within approximately 30 days, RealPage plans to begin marketing a combined Asset & Investment Management (AIM) platform that integrates its existing Portfolio Asset Management (PAM) and Portfolio Investment Management (PIM) products with Foundation and FUEL.

Following the acquisition, RealPage will be able to offer its existing commercial and multifamily clients a fully integrated valuation capability with FUEL, supplementing and significantly expanding the Underwriting Analytics product RealPage released last year. The combination is expected to create the industry’s only fully integrated platform that aggregates and manages data across the entire investment lifecycle for real estate and alternative investments.

Steve Winn, Chairman and CEO of RealPage:

"With the addition of this acquisition to RealPage’s previously developed capabilities, RealPage will offer an integrated platform to serve the end-to-end needs of an institutional real estate and alternative asset owner. No longer will customers need to cobble together applications and services to run their business. RealPage can offer a complete solution, supported by managed services, to run their entire operational process.”

Damien Georges, Founder, Hipercept:

"We are excited to join RealPage and to be able to provide the product platform and managed services offering that we believe an institutional owner needs to power their front and middle office. We have worked to develop products and managed services that are entirely complementary to RealPage’s existing solution offering. We are retaining all of our staff and all Hipercept offices will remain open, so we can continue to provide the same excellent level of service our clients are accustomed to.”

Alan James, SVP Asset Investment Management:

"We will be ready to go to market with a fully integrated Asset & Investment Management (AIM) solution at the time we complete this transaction, allowing us to offer a full range of investment management lifecycle products. We plan to couple the portfolio modeling capabilities of PIM with the asset cash flow forecasting and valuation functionality of FUEL, while combining the robust reporting analytics engine of PAM with the Foundation data warehouse. Additionally, we will be able to offer managed services including partner management, valuation process management and ongoing integration management. I am also truly excited that this transaction will enable us to continue our international expansion, especially into the European market.”

About RealPage

RealPage is a leading global provider of software and data analytics to the real estate industry. Clients use its platform to improve operating performance and increase capital returns. Founded in 1998 and headquartered in Richardson, Texas, RealPage currently serves over 12,100 clients worldwide from offices in North America, Europe and Asia. For more information about RealPage, please visit www.realpage.com.

About Hipercept

Hipercept is a global provider of consulting, technology and managed services to the Alternative Investments industry, primarily to limited partners, general partners, real estate owners, operators and lenders. Hipercept focuses on operational and technology processes that drive front and back office efficiency. Headquartered in New York, NY, Hipercept has an international presence with offices and clients in the US, Europe, Colombia and Canada. For information about the company, visit www.hipercept.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains "forward-looking” statements relating to RealPage, Inc.’s strategy related to marketing combined products from the Hipercept transaction and its existing AIM products, the ability of the combined products to serve the end-to-end needs of an institutional real estate and alternative investments asset owner by providing a complete solution that will allow owners to run their entire operational process, the complementary nature of the RealPage and Hipercept products, the timing of the closing of the transaction and offering a fully integrated product following closing of the transaction and ability to continue international expansion. These forward-looking statements are based on management's beliefs and assumptions and on information currently available to management. Forward-looking statements include all statements that are not historical facts and may be identified by terms such as "expects,” "believes,” "plans,” or similar expressions and the negatives of those terms. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Additional factors that could cause or contribute to such differences include, but are not limited to, the following: (a) the possibility that general economic conditions, including leasing velocity or uncertainty, could cause information technology spending, particularly in the rental housing industry, to be reduced or purchasing decisions to be delayed; (b) an increase in insurance claims; (c) an increase in client cancellations; (d) the inability to increase sales to existing clients and to attract new clients; (e) RealPage’s failure to integrate recent or future acquired businesses successfully or to achieve expected synergies including the transaction with Hipercept; (f) the timing and success of new product introductions by RealPage or its competitors; (g) changes in RealPage’s pricing policies or those of its competitors; (h) legal or regulatory proceedings; (i) the inability to achieve revenue growth or to enable margin expansion; (j) changes in RealPage’s estimates with respect to its long-term corporate tax rate or any other impact from the Tax Cuts and Jobs Act; and (k) such other risks and uncertainties described more fully in documents filed with or furnished to the Securities and Exchange Commission ("SEC”) by RealPage, including its Annual Report on Form 10-K previously filed with the SEC on February 27, 2019 and Form 10-Q filed on May 8, 2019. All information provided in this release is as of the date hereof and RealPage undertakes no duty to update this information except as required by law.

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