On the go: Mobile-based auto insurer Root files for an estimated $800 million IPO
October 5, 2020
Root, a mobile-based auto insurer, filed on Monday with the SEC to raise up to $100 million in an initial public offering. However, this is likely a placeholder for a deal we estimate could raise up to $800 million.
Root believes that it can challenge the traditional insurance model by using technology to measure risk based on individual performance. The company utilizes a mobile-first engagement strategy, providing a user-friendly interface for customers’ mobile phones.
The Columbus, OH-based company was founded in 2015 and booked $432 million in revenue for the 12 months ended June 30, 2020. It plans to list on the Nasdaq under the symbol ROOT. Root filed confidentially on August 10, 2020. Goldman Sachs, Morgan Stanley, Barclays, Wells Fargo Securities, Credit Suisse, Deutsche Bank, Evercore ISI and Truist Securities are joint bookrunners on the deal. No pricing terms were disclosed.
The article On the go: Mobile-based auto insurer Root files for an estimated $800 million IPO originally appeared on IPO investment manager Renaissance Capital’s web site renaissancecapital.com.
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