After signing a definitive binding purchase agreement in December, Zaio (TSXV:ZAO) today announced the pending asset purchase of Valuation Vision is scheduled to close on May 29, 2015.
Zaio will pay (U.S.) $4.286 million for the company.
“We are pleased to be completing the Valuation Vision acquisition,” said CEO David King. “While Zaio and Valuation Vision have been strategically aligned for some time, the ability to operate as a consolidated company will continue to drive opportunities for proprietary ZAIO products and data into all sectors of the booming U.S. finance and mortgage industry.”
Founded in 2011, Carlsbad, California-based Valuation Vision provides alternative valuation products and solutions for the mortgage and investment industries. The company has built a customer base of asset managers, private equity firms, and national mortgage services firms.
For Zaio, the acquisition will allow it to cross-sell its appraisal driven products with Valuation Visions real estate driven products to existing and new clients of both companies. At the same time, the company can use Valuation Vision’s existing sales team to expand further into the U.S. banking and real estate markets.
Calgary-based Zaio enables experts to quickly and accurately prepare valuation reports on a database that has surpassed 100-million properties.
Talking to Cantech Letter recently King was optimistic about the impact Valuation Vision will have on Zaio’s business.
“Operating under one umbrella, post closing allows us to completely come to the market with integrated sales and marketing plans,” he said. “It’s a great story, and we’ve already got some big fans in the industry buying our solutions. Big data analytics and new product development will open massive new markets for us and will help our clients unlock the potential in the data. Some areas of the real estate market operate with little regulation, however disrupting the mortgage space with data and technology requires a much more strategic approach to get locked in. That said, success can pay big dividends because once you set the standard, you can truly disrupt the market.”
Disclosure: Zaio is a sponsor of Cantech Letter and Editor Nick Waddell owns shares of the company.