Acquisition of Landsea Homes by New Home Co.
A Dallas homebuilding firm has been acquired for $1.2 billion and will go private. Dallas-based Landsea Homes was acquired by California-based New Home Co. for $11.30 per share — roughly 61% higher than Landsea’s closing price. It was an all-cash transaction, the firms announced Monday afternoon.
The combined company will be a privately held, top-25 homebuilder with properties in some of the nation’s fastest-growing markets in Arizona, California, Colorado, Florida, Oregon, Texas, and Washington. The new firm will generate nearly 4,000 annual closings, the company said.
Transaction Details
The transaction was unanimously approved by Landsea’s board of directors. The deal is expected to close in the third quarter of 2025.
“Our acquisition of Landsea Homes is an important next step in New Home’s long-term growth strategy,” Matthew Zaist, president and CEO of New Home, said in a statement. “By bringing together two highly complementary businesses and teams with shared customer-first values, we will further scale our platform nationally and help even more buyers realize the dream of homeownership. I look forward to continuing to partner with the talented employees from both organizations and Apollo in this next chapter.”
Support from Apollo Funds
The transaction was supported by Apollo Funds, the majority shareholder of New Home since 2021. Apollo is committed to $650 million of new cash equity. Zaist will lead the combined company.
Landsea Homes Background
Landsea moved its corporate headquarters to Uptown Dallas from Newport Beach, Calif., in 2023, citing North Texas’ lower cost of living.
Landsea Homes ranked as the 33rd-largest builder in the nation with 2,831 home closings and $1.4 billion in gross revenue, according to Builder Magazine. Landsea entered the Texas market in 2021. It is selling homes in the Dallas-Fort Worth and Austin markets.
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Conclusion
The acquisition of Landsea Homes by New Home Co. is a significant development in the homebuilding industry. The combined company will be a major player in the market, with a strong presence in some of the nation’s fastest-growing regions. With the support of Apollo Funds, the company is well-positioned for future growth and success.
Frequently Asked Questions
Q: What is the value of the acquisition?
A: The acquisition is valued at $1.2 billion.
Q: Who is the acquirer?
A: The acquirer is New Home Co., a California-based homebuilding firm.
Q: What is the expected outcome of the acquisition?
A: The combined company will be a privately held, top-25 homebuilder with properties in some of the nation’s fastest-growing markets.
Q: When is the deal expected to close?
A: The deal is expected to close in the third quarter of 2025.
