As per the agreement, the US company will acquire GeoPhy for $85M (approx €74.3M) in cash to be paid at closing, with an additional $205M (approx €180M) of cash earn-out. The transaction is expected to close during Q1, 2022.
The acquisition will accelerate the growth of Walker & Dunlop’s lending, brokerage and emerging businesses, including Apprise, its tech-enabled appraisal business, and its small balance lending (SBL) platform.
Teun van den Dries, CEO and co-founder of GeoPhy, will continue to lead the GeoPhy team and assume leadership of the Apprise and SBL businesses.
GeoPhy: What you need to know
Founded by Sander Mulders and Teun van den Dries, GeoPhy uses data science to provide CRE professionals with instant access to unique data and hyperlocal insights so they can find, evaluate and close more deals in less time with greater confidence.
Teun van den Dries says, “GeoPhy has gained a reputation for its unrivaled capabilities in data science and predictive models, which provide our customers in the commercial real estate space with unmatched efficiencies and insights. We’re thrilled to bring our industry experience and insights to Walker & Dunlop to propel the growth of their lending, brokerage, and emerging businesses. As a combined company, we have the scale, resources, and expertise to truly differentiate Walker & Dunlop’s services in the marketplace.”
Walker & Dunlop: What you need to know
Walker & Dunlop provides financing solutions and investment sales to owners of multifamily and commercial properties, including industrial, office, retail, and hospitality.
Walker & Dunlop Chairman and CEO, Willy Walker, says, “This acquisition is a game-changing investment for Walker & Dunlop, as it dramatically accelerates the growth of our technology capabilities in two areas of the market where we have the ability to disrupt the commercial real estate services industry. As our current JV partner in Apprise, we are well acquainted with the GeoPhy team and their capabilities. Actionable technology — that makes our bankers and brokers more insightful and capable — is what has differentiated Walker & Dunlop, and the acquisition of GeoPhy immediately enhances our capabilities.”
“GeoPhy is the largest technology investment we have made and accelerates the achievement of our Drive to ’25 strategy to use technology to grow our existing scaled lending and brokerage businesses, as well as transform the real estate services landscape by developing tech-enabled businesses that will be faster, better, and cheaper than the competition,” he adds.