After officially completing a previously-announced transaction, Latch Inc., maker of the full-building enterprise software-as-a-service (SaaS) platform LatchOS, and TS Innovation Acquisitions Corp. (TSIA), a publicly-traded special purpose acquisition company launched by Tishman Speyer Properties L.P. Latch’s common stock and warrants trade on the Nasdaq Global Select Market under the ticker symbols “LTCH” and “LTCHW,” respectively.
In connection with the transaction, Latch received approximately $453 million in cash proceeds, net of fees and expenses funded in conjunction with the closing of the business combination, which includes $190 million from a previously announced private placement of common stock (PIPE). The proceeds will be used to fund initiatives to drive growth, such as growing the number of units on its platform, expanding offerings to additional asset classes and spreading to new geographies.
“Latch’s long-term mission is to make all types of spaces better places to live, work, and visit,” said Luke Schoenfelder, Latch co-founder, CEO and chairman of the board. “As a public company, we expect to have the capital and strategic resources to deliver new products, grow our market share in North America, enter new markets abroad, and expand into new verticals that will benefit from our unique, full-building operating system. We look forward to executing our strategic objectives and driving enhanced value for our shareholders, customers, and residents.”
Rob Speyer, president and CEO of Tishman Speyer and member of the board of directors of Latch, said, “We were attracted to Latch for its proven business model, strong leadership, and exceptional products, which have completely changed the building experience. I look forward to continuing my collaboration with Luke and the management team, helping Latch strengthen and grow its position in the industry.”
Since announcing the business combination in January, Latch has launched a series of new products, including: LatchOS for Commercial Office, which will extend smart access, visitor and delivery management, smart device and sensor control, connectivity and identity and personalization solutions to modern office spaces; Latch Visitor Express, a contactless visitor entry system designed to streamline visitor entry within office buildings; the Latch Lens Partner Program, a partnership program that enables access device partners to leverage Latch’s software and Latch Lens; LatchID, a proprietary identification system that creates a trusted network of users, across spaces and devices and Latch C2, a cost-effective device designed for both retrofits and new construction that brings Latch to more people and doors.
Goldman Sachs acted as financial advisor to Latch and as joint placement agent on the PIPE. Latham & Watkins LLP acted as legal advisor to Latch. Allen & Company LLC and BofA Securities acted as joint financial advisors to TSIA and also as joint lead placement agents on the PIPE. Sullivan & Cromwell acted as legal advisor to TSIA. William Blair & Company LLC, Robert W. Baird & Co. Incorporated, Cantor Fitzgerald & Co., KeyBanc Capital Markets Inc., D.A. Davidson & Co. and The Benchmark Company LLC acted as non-exclusive capital markets advisors on the de-SPAC process.