New Home Co. entered a merger agreement on May 13, 2025, to acquire Landsea Homes Corporation (LSEA) in an all-cash deal valued at $1.2 billion.
Under the terms of the agreement, New Home will commence a tender offer to acquire all outstanding shares of Landsea Homes for $11.30 per share in cash, representing a premium of 60.97% from the stock’s last close.
Landsea Homes is a publicly traded residential homebuilder that designs, builds, and sells single-family and attached homes in high-demand U.S. markets, with a focus on sustainability and master-planned communities.
New Home is an asset-light homebuilder focused on designing and building affordable, consumer-driven single-family homes for entry-level and first-time move-up buyers in high-growth markets across the West, Central, and Pacific Northwest regions. It is a portfolio company of the Apollo Funds, managed by affiliates of Apollo Global Management (APO).
Through the merger, New Home and Landsea Homes will offer homebuyers a diverse range of options, including single-family detached and attached residences across Arizona, California, Colorado, Florida, Oregon, Texas, and Washington.
The combined company will be led by Matthew Zaist, Chief Executive Officer of New Home.
Apollo Funds, the majority shareholder of New Home since 2021, is supporting the deal by investing $650 million in new cash equity to strengthen the company’s finances.
As part of this deal, which is expected to close early in the third quarter of 2025, Landsea Homes will become a privately held company.
Landsea Homes received financial advice from Moelis & Co. and legal counsel from Latham & Watkins. New Home was advised financially by J.P. Morgan Securities, RBC Capital Markets, Vestra Advisors, and Wells Fargo, with legal counsel provided by Paul, Weiss, Rifkind, Wharton & Garrison.
New Home is paying 17.78 times EBITDA for Landsea Homes.
For more in-depth information and analysis of this merger and acquisition transaction, follow the link below to the Deal Metrics page:
Deal Metrics for the acquisition of Landsea Homes Corporation (LSEA) by New Home Co.
The Deal Metrics page for each merger or acquisition includes:
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Editor’s Note: Baranjot Kaur contributed to this article