MTTR - Why is the Matterport Inc stock price soaring today? What Matterport's news means for markets
2024-04-23 03:59:56 ET
The price of Matterport Inc (Nasdaq: MTTR) is up a whopping 175% today, to trade at a new high of $4.80 per share.
On April 22 nd , Matterport stock opened at a price of $4.05 – a quantum leap up from its Friday 19 th closing price of $1.74.
Then, the stock soared to a high of $4.99 yesterday, before closing at $4.80.
And that’s not all. In total, Matterport Inc has gained over 160% in its stock price in the past few days, and almost 170% in the past month alone. But why?
Matterport acquired by CoStar
It turns out that Matterport is being bought by CoStar Group, Inc. – the online real estate company behind Apartments.com, LoopNet, CoStar, and Homes.com.
Yesterday, CoStar Group posted a press release announcing that it was acquiring all outstanding shares of Matterport in a cash and stock transaction valued at $1.6 billion, or $5.50 per share.
As part of the deal, Matterport stockholders will receive $2.75 in cash and $2.75 in shares of CoStar Group common stock for each share of Matterport common stock.
The future of real estate is here
The deal is not just significant for Matterport – it has profound implications for the way house-hunting will be done around the world from now on.
Andy Florance, founder and CEO of CoStar Group, said the following regarding the acquisition:
The world has changed and today a Matterport is the new open house or property tour. People now select their next home, apartment, office, store, hotel, or warehouse on their mobile device often without ever visiting the property. CoStar Group intends to invest in opportunities to further develop Matterport’s spatial technology, including the application of AI and machine learning to extract information from the 3D spatial data library, as well as using generative artificial intelligence to imagine and reimagine physical spaces.”
With further funding of Matterport’s unique and patented technology, virtual house tours could enter entirely new territory, levelling up the entire industry of real estate with new virtual and digital experiences that have little, if anything, to do with bricks and mortar.
About Matterport and CoStar
CoStar has used Matterport technology in its house tours for a number of years now. As Matterport describes itself on its website:
Matterport pioneered the development of the first 3D capture solution to deliver dimensionally accurate, photorealistic virtual tours for any type of property. Matterport’s proprietary and patented technology enables anyone to digitize a property using a variety of camera technologies including cameras found on most smartphones. Matterport also produces a line of innovative 3D capture devices, including… a powerful artificial intelligence software engine that automatically generates the 3D digital twin and virtual tour while providing property insights like detailed room layouts, and more.”
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