PROCORE TECHNOLOGIES, INC. acquires Levelset (Express Lien, Inc.)

PROCORE TECHNOLOGIES, INC. acquired Levelset (Express Lien, Inc.) for approximately $484.1 million (final); announced at ~$500 million, a transaction completed in November 2021, structured as combination (cash and stock).

Levelset (Express Lien, Inc.) operates in Payments / lien rights management. Levelset is a software company that enables contractors and suppliers to efficiently manage their lien rights on construction projects, simplifying complex compliance workflows and the payment process. Over 250,000 users have deployed Levelset on more than 6.5 million construction projects. At announcement the purchase price was approximately $500 million (~$425 million cash and ~$75 million Procore common stock); the final preliminary purchase consideration disclosed in the FY2021 10-K totaled $484.1 million ($426.1 million cash and $58.0 million in common stock, 610,499 shares at $95.05).

This acquisition will add lien rights management to the Procore platform, enabling Procore to manage complex compliance workflows and improve the payment process in construction. It also presents future growth opportunities for Procore, including capitalizing on the companies' complementary data assets.

Levelset had been a Procore App Marketplace partner since April 2018, with over 3,300 customers using its lien rights management solution; its payments and compliance data complement Procore's platform. The $348.3 million goodwill balance is primarily attributable to synergies and expanded market opportunities expected from the integration of Levelset with the Company's offerings and assembled workforce. Integrated into the Procore platform as its lien rights management and payments capability.