Compass-Anywhere merger could squeeze out small brokerages with $1.6 billion deal
ByAinvest
Monday, Sep 29, 2025 1:31 pm ET1min read
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Under the terms of the agreement, shareholders of Anywhere will receive 1.436 shares of Compass Class A common stock for each share they own, valuing Anywhere shares at $13.01 apiece based on Compass’s 30-day trading average [1]. Upon completion of the transaction, current Compass shareholders will own about 78% of the combined company on a fully diluted basis, while Anywhere shareholders will own roughly 22% [1].
The merger is expected to close in the second half of 2026, pending approval by both Compass and Anywhere shareholders and regulators [1]. The combined company will operate across every major U.S. market and more than 120 countries, with a network of approximately 340,000 real estate professionals worldwide [1].
Compass, founded in 2012 by CEO Robert Reffkin, has built its reputation as an agent-first platform leveraging proprietary software to help real estate agents market listings, manage transactions, and serve clients more efficiently [2]. Anywhere brings an extensive franchise portfolio that includes Coldwell Banker, Century 21, Sotheby’s International Realty, and Better Homes and Gardens Real Estate [2].
The merger is expected to achieve at least $225 million in annual cost savings by streamlining operations and combining resources [2]. Compass has secured a $750 million financing commitment from Morgan Stanley Senior Funding to support the deal [1].
Industry observers caution that the consolidation may increase pressure on mom-and-pop brokerages, as the combined company's scale and resources could make it more difficult for smaller firms to compete [3]. However, the merger is expected to bring together two of the best companies in the industry, creating a premier real estate platform that can better serve agents, clients, and communities everywhere [1].
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A proposed $1.6 billion merger between Compass and Anywhere Real Estate could unite the nation's two largest real estate behemoths. The deal would combine Compass' regional brokerages with Anywhere's nationally recognized brands, including Century 21 and Coldwell Banker. However, industry observers caution that the consolidation may increase pressure on mom-and-pop brokerages. The merger is expected to go forward pending approval from shareholders and regulators and is expected to take place in the second half of 2026.
Compass Inc. and Anywhere Real Estate Inc. have announced a definitive merger agreement, marking a significant step in the consolidation of the residential real estate industry. The deal, valued at approximately $1.6 billion, is expected to create the world's largest residential real estate brokerage [1].Under the terms of the agreement, shareholders of Anywhere will receive 1.436 shares of Compass Class A common stock for each share they own, valuing Anywhere shares at $13.01 apiece based on Compass’s 30-day trading average [1]. Upon completion of the transaction, current Compass shareholders will own about 78% of the combined company on a fully diluted basis, while Anywhere shareholders will own roughly 22% [1].
The merger is expected to close in the second half of 2026, pending approval by both Compass and Anywhere shareholders and regulators [1]. The combined company will operate across every major U.S. market and more than 120 countries, with a network of approximately 340,000 real estate professionals worldwide [1].
Compass, founded in 2012 by CEO Robert Reffkin, has built its reputation as an agent-first platform leveraging proprietary software to help real estate agents market listings, manage transactions, and serve clients more efficiently [2]. Anywhere brings an extensive franchise portfolio that includes Coldwell Banker, Century 21, Sotheby’s International Realty, and Better Homes and Gardens Real Estate [2].
The merger is expected to achieve at least $225 million in annual cost savings by streamlining operations and combining resources [2]. Compass has secured a $750 million financing commitment from Morgan Stanley Senior Funding to support the deal [1].
Industry observers caution that the consolidation may increase pressure on mom-and-pop brokerages, as the combined company's scale and resources could make it more difficult for smaller firms to compete [3]. However, the merger is expected to bring together two of the best companies in the industry, creating a premier real estate platform that can better serve agents, clients, and communities everywhere [1].
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