Vacasa Stock In Focus On Proposed Merger With Casago: Retail’s Bullish

synopsis

Shares of Vacasa Inc. ($VCSA) rose nearly 27% on Monday after the vacation rental management platform said it was merging with Casago, a vacation rental property management firm, lifting retail sentiment.

Under the terms of the transaction, Casago will acquire all outstanding shares of Vacasa held by public stockholders for $5.02 per share. The purchase price represents a premium of 28% and 60% over Vacasa’s 30-day and 90-day volume weighted average price per share, respectively, as of December 27, 2024, the last trading day prior to execution of the agreement, the companies said in a joint statement.

“This merger is a natural next step in Vacasa’s journey over the past year, sharpening our focus on owners, guests, and our local teams that take care of them every day. By combining with Casago, a company that shares our vision of locally-empowered, homeowner-focused property management, we’re accelerating our progress on that path,” Vacasa CEO Rob Greyber said in the statement.

“We are pairing national scale with local expertise, empowering entrepreneurial teams to set a new standard in vacation rental property management,” added Greyber.

Retail sentiment on Stocktwits turned ‘bullish’ from ‘extremely bearish’ a month ago. Message volumes climbed into the ‘extremely high’ category.

Roofstock, a proptech platform, is also planning to invest in the combined companies. Vacasa began an a review of strategic alternatives and engaged advisers in early 2024, according to the statement.

Vacasa stock is down 38.61% year-to-date.

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