WHAT SHOULD YOU KNOW ABOUT COMPASS REAL ESTATE USA?

 WHAT SHOULD YOU KNOW ABOUT COMPASS REAL ESTATE USA?

Having recently gone public, real estate technology company Compass is now playing in the big leagues. What do you need to know about the company commonly known as Compass Real Estate USA?

A Brief History of Compass Real Estate USA

When Compass, a real estate brokerage firm, filed its application with the Securities & Exchange Commission for a possible IPO, the number of shares and price ranges were not yet clearly defined.

Compass began recruiting its agents from competing companies with approximately $1.5 billion in funding from SoftBank. Its value has grown over time, reaching $6.4 billion after its initial $370 million round in 2019.

Compass was founded in 2012 by Ori Allons and Robert Reffkin. Robert Reffkin currently leads the company. Reffkin has a distinguished career, having earned his stripes at Goldman Sachs as a vice president before becoming president and COO. His experience also includes several years at McKinsey, Lazard, and the US Treasury.

Compass's IPO

An IPO should allow Compass to join the startups that also took the plunge in 2020, through SPACs (special purpose acquisition companies), including Airbnb, Snowflake and Opendoor.

Although the spring of 2020 was not a restful one for Compass Real Estate USA, due to the start of the health crisis, and the company had to lay off 15% of its staff, it should, in the long term, record better results, in particular thanks to the frenzy of the residential real estate market in the USA.