Insurance Acquisition Corp. (IAC), a subsidiary of Cohen & Company Inc., has completed its previously announced merger agreement with automotive e-commerce firm, Shift Technologies Inc.
The business combination, which was approved on October 13th by INSU’s stockholders, provides Shift with approximately $300 million, net of fees and expenses.
Shift is an automotive ecommerce company that uses proprietary technology to help consumers buy, sell, trade, finance, and own used cars.
“Today marks an important milestone for our company,” said George Arison, Shift co-CEO. “With the support of our shareholders, we have completed the merger with Insurance Acquisition Corp. and fortified our cash position with $300 million to invest in growing our business.”
“We are thrilled to bring Shift to the public markets, fulfilling our long-term plan to be a publicly listed company,” Arison added.
Toby Russell, Shift Co-CEO, also commented: “We started Shift in 2014 with a vision to transform the antiquated used car market, ripe for disruption. Through the strength of our technology suite and dedication of our employees, we have grown into a leading ecommerce platform, disrupting the more than $840 billion used car market.
Russel continued: “We accelerated year-over-year revenue growth to nearly 30% in the third quarter and continue to expect strong growth for the full year. We are pleased to enter the public market with this positive momentum and look forward to reporting our full third quarter financial results on our first earnings call in November.”
Daniel Cohen, Chairman of Insurance Acquisition Corp., further stated: “We are pleased with the transaction’s completion. Today’s vote is a testament to our excitement, and the excitement of our shareholders, in bringing Shift to the public markets.”
“We are confident in the strength of Shift’s management team and business model, and we look forward to seeing its continued success as a public company.”