Angi Inc. completes equity restructuring post-IAC spin-off

Published 01/04/2025, 22:40
Angi Inc. completes equity restructuring post-IAC spin-off

In a recent unregistered securities transaction, Angi Inc., a company specializing in advertising services, completed an equity restructuring following its spin-off from IAC Inc. On Monday, March 31, 2025, IAC distributed all of its Angi capital stock to its own shareholders through a special dividend, marking the official separation of the two entities. The company, currently valued at $746 million, has shown resilience with a strong current ratio of 2.14 and maintains profitable operations. According to InvestingPro analysis, Angi appears undervalued based on its Fair Value calculations.

Prior to this distribution, IAC converted 41,701,064 shares of Angi Class B common stock into an equal number of shares of Angi Class A common stock on a one-for-one basis. This conversion was executed in line with the terms governing Angi Class B common stock. Angi Inc. did not receive any monetary consideration in relation to this conversion. The stock currently trades near its 52-week low of $14.90, with a P/E ratio of 20.65.

The issuance of Angi Class A common stock from the conversion was carried out under an exemption from registration stipulated in Section 4(2) of the Securities Act of 1933, as amended. This exemption allows for transactions by an issuer not involving any public offering.

Angi Inc., formerly known as ANGI Homeservices (NASDAQ:ANGI) Inc. and Halo TopCo, Inc., is incorporated in Delaware and operates out of its principal executive offices in Denver, Colorado. The company’s Class A common stock is traded on the Nasdaq Global Select Market under the ticker ANGI.

This restructuring event marks a significant change in Angi’s equity composition and comes as part of the broader corporate strategy following the spin-off from IAC. The information reported is based on a press release statement filed with the SEC.

In other recent news, IAC has completed the spin-off of its ownership stake in Angi, making Angi an independent, publicly traded entity. This strategic move allows Angi to pursue its growth ambitions independently, with a focus on mergers and acquisitions and talent acquisition. Concurrently, Angi has enacted a 1-for-10 reverse stock split, consolidating its shares to potentially enhance share value. The reverse stock split, approved by the board and shareholders, took effect with no change to the authorized shares or their par value.

In another development, Angi has been included in the S&P SmallCap 600 index, replacing The ODP Corp. This inclusion could increase Angi’s visibility and attract broader investor interest. Additionally, Angi issued over 1.2 million shares of its Class A common stock to IAC in a private transaction as part of a reimbursement agreement. These shares were priced at $1.66 each, totaling approximately $2 million.

The distribution of Angi shares to IAC stockholders was conducted on a pro rata basis, with 0.5251 shares of Angi Class A common stock allocated for each IAC share held as of the record date. Both IAC and Angi have reaffirmed their full-year guidance for 2025, signaling confidence in their future performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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