Porch Group Inc.
03/28/2024 | Press release | Distributed by Public on 03/28/2024 09:31
Material Event - Form 8-K
Item 8.01. Other Events.
Porch Group, Inc., through its wholly owned subsidiary Porch.com, Inc. (Porch.com and, collectively, the "Porch"), acquired Floify, LLC ("Floify") in October 2021, a company providing digital mortgage automation and point-of-sale software for mortgage companies and loan officers. As part of the closing, Porch issued approximately 550,000 shares to the sellers of Floify at a price per share of $17.93 and guaranteed that the value of the shares would equal or exceed 200% of such price on or prior to December 31, 2024 (the "True-Up Obligation"). The True-Up Obligation could be settled at Porch's option in cash, Porch common stock, or a combination thereof. On March 27, 2024, Porch.com entered into a settlement agreement and mutual release of claims (the "Settlement Agreement") with the sellers of Floify (the "Sellers") to settle a post-closing dispute. Pursuant to the Settlement Agreement, among other terms, the Sellers agreed to terminate the True-Up Obligation in full and to pay approximately $860,000 in cash to Porch.com.