Compass, the largest U.S. residential real estate brokerage, has agreed to acquire Anywhere Real Estate in an all-stock transaction valued at $4.2 billion. The move comes as both firms navigate slowing housing activity and rising competition in a high-interest-rate environment.
High mortgage rates and affordability challenges have weighed on U.S. housing firms in recent quarters, pressuring profitability across the sector. Earlier this year, Compass filed a lawsuit against Zillow, accusing the portal of adopting an "exclusionary" policy aimed at directing listings exclusively to its platform.
Under the agreement, Compass will issue 1.436 class A shares for each share of Anywhere common stock. This values Anywhere at about $1.6 billion in equity, with an enterprise value near $10 billion including debt. The companies expect the deal to close in the second half of 2026.
Compass will pay $13.01 per share to Anywhere shareholders, representing an 84% premium to the company’s most recent closing price. On Monday, Anywhere’s stock climbed 49% to $10.48, while Compass shares dropped 14%.
Anywhere’s franchise, title and escrow, and relocation units are expected to add more than $1 billion in annual revenue to Compass. Madison, New Jersey-based Anywhere operates through over 30,000 affiliated agents across 119 countries.
BTIG analyst Jake Fuller noted, "Real estate is a volume game & the transaction creates a clear leader with about 340K agents."
Morgan Stanley is advising Compass on the transaction, while Goldman Sachs is serving as financial adviser to Anywhere.
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By Ravi Kumar