Common Customer Questions Regarding the CoStar Acquisition
What transaction was announced and what does it mean?
On February 11th, 2020, RentPath announced that it entered into an agreement to be acquired by CoStar Group from bankruptcy. The sale requires certain government approvals before the transaction can close. This means that if the transaction receives the necessary government approvals, RentPath will become part of CoStar. Until that time, the two companies will continue to operate independently. We will let you know once the sale has closed.
Should RentPath already be considered part of CoStar?
No. The sale has not closed because the transaction requires certain government approvals. Subject to receiving government approvals, we believe the sale will likely close during the fourth quarter of 2020. RentPath continues to be a separate company until the close of the transaction. To be clear, this means RentPath will continue to have separate product offerings, pricing, and websites and will operate independently of CoStar.
What happens if CoStar and RentPath do not receive the government approvals to close the deal?
RentPath is working diligently to obtain regulatory approvals and we believe this acquisition is in the best interests of our customers, consumers, employees and the industry as a whole. In the event the CoStar transaction is not completed, RentPath would move forward with a back-up transaction with its lenders whereby RentPath would continue to operate as a standalone company.
How will this acquisition impact me as a customer?
Regardless of when any transaction with CoStar closes, CoStar has agreed to honor the terms of RentPath customer agreements.¹ If you sign a customer agreement with RentPath, your agreement will remain in place in accordance with its terms after the CoStar deal is completed.
I have heard that RentPath is out of money. Is this true?
No. RentPath’s lenders have funded us to drive leads and support customers while we are working to complete the CoStar transaction. In fact, we continue to invest in product and marketing and deliver value to our customers while maintaining our strong employee base and recruiting new talent.
Why should I do business with RentPath?
We are committed, as we always have been, to deliver high quality leads for our advertisers. As mentioned above, you also have the comfort of knowing that if you sign a customer agreement with RentPath, your agreement will continue in accordance with its terms after the CoStar deal is completed. Please speak with your sales representative for our latest product offerings and to learn how we can serve your advertising needs.
¹ A handful of customer agreements will not be transitioning to CoStar; those customers/properties have been notified directly.