Foley Represents AI Pioneer Matterport in Definitive Agreement to be Acquired by CoStar Group

Foley & Lardner LLP is representing Matterport, Inc., a global leader in 3D digital twins and artificial intelligence for the real estate industry, in its proposed acquisition by CoStar Group for an estimated equity value of approximately $2.1 billion and an enterprise value of approximately $1.6 billion. Under the terms of the definitive agreement with CoStar, Matterport stockholders will receive $2.75 in cash and $2.75 in shares of CoStar Group common stock for each share of Matterport common stock. The transaction, which is subject to regulatory and stockholder approvals and other customary closing conditions, is expected to increase the development and deployment of advanced AI and digital twin technology across all of CoStar Group’s product lines.

Founded in 2011, Matterport pioneered the development of the first 3D capture solution to deliver dimensionally accurate, photorealistic virtual tours or “digital twins” for any type of property. Matterport’s proprietary and patented technology enables anyone to digitize a property using a variety of camera technologies, including cameras found on most smartphones. Matterport also produces a line of innovative 3D capture devices, including the company’s flagship LiDAR-based Pro3 camera, which is capable of high-precision indoor and outdoor capture. At the center of the solution is Cortex, a powerful artificial intelligence software engine that automatically generates the 3D digital twin and virtual tour while providing property insights like detailed property dimensions, room layouts, and more.

The Foley team was led by Silicon Valley-based partner Louis Lehot and included partners Brandee Diamond (corporate M&A), Jessie Lochmann (capital markets), Ben Dryden (antitrust), Rishi Sodhi (tax), Leigh Riley (executive compensation), Casey Knapp (executive compensation), Christopher Swift (compliance), and Beth Boland (litigation), as well as counsels Alan Pate (technology transactions), Philip Babler (litigation), Kelsey O’Gorman (executive compensation), Sonia Kothari (tax), and Sophie Lignier (antitrust), and associates Ashley Lee (corporate and M&A), Kelly Boyd (corporate and M&A), Trevor Mullin (securities), Sarah Waste (technology transactions), Cullen Werwie (executive compensation), and Robin Zhang (corporate and M&A).