CoStar Group to Acquire Vexcel for Approximately $730 Million
CoStar Group, Inc. has agreed to acquire Vexcel Group, Inc. for approximately $730 million in cash, with the transaction expected to close in the first quarter of 2027. Funded through cash on hand and a revolving credit facility, the acquisition aims to integrate Vexcel’s aerial imagery and AI-derived data fields to enhance CoStar's search capabilities. Vexcel will maintain its brand and leadership under Erik Jorgensen. CoStar anticipates the deal will be accretive to Adjusted EPS in its first full year of ownership, subject to customary closing conditions and regulatory approvals.
CoStar Group, Inc. (NASDAQ: CSGP) has entered into a definitive agreement to acquire Vexcel Group, Inc. for approximately $730 million in cash. Vexcel operates one of the world’s largest survey-grade aerial imagery programs.
CoStar expects the acquisition to add Vexcel’s aerial imagery program and tens of billions of new AI-derived data fields, supporting richer search and discovery across CoStar.
CoStar plans to fund the transaction with cash on hand and its existing revolving credit facility. The acquisition is expected to close in the first quarter of 2027, subject to customary closing conditions and regulatory approvals.
After the closing, Vexcel will continue operating its data program under the Vexcel brand and serving customers and partners worldwide. Erik Jorgensen and the existing Vexcel leadership team will continue to lead the business.
CoStar expects the acquisition to be accretive to Adjusted EPS in the first full year of ownership.
This article may include AI-generated content that is human-reviewed, which is for reference and general information purposes only and does not constitute investment advice.
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