Matterport Completes Acquisition and Exits Public Markets

Matterport Registered (A) US5770961002

The publicly traded chapter for Matterport Inc., a pioneer in digital twin technology, has officially closed. Following its acquisition by commercial real estate information provider CoStar Group, Matterport's shares were delisted from the Nasdaq stock exchange at the end of February 2025. The company now operates as a wholly-owned subsidiary.

CoStar Group finalized the acquisition of Matterport on February 28, 2025. The all-stock transaction carried an approximate total value of $1.6 billion. Under the terms of the deal, Matterport shareholders received $2.75 in cash plus 0.03552 of a share of CoStar Group common stock for each share of Matterport they held. Trading in Matterport shares was formally suspended by the Nasdaq effective March 3, 2025.

Strategic Rationale and Future Direction

The merger unites Matterport’s industry-leading spatial data library and 3D capture platform with CoStar’s extensive real estate analytics and marketplace. According to Andy Florance, CoStar Group’s Chairman and Chief Executive Officer, the combined entity aims to accelerate the global adoption of AI-powered digital twins across both commercial and residential real estate sectors.

Moving forward, Matterport will focus on advancing its core technologies in artificial intelligence, computer vision, and machine learning. The goal is to enhance property analytics and operational efficiency for users worldwide from within the CoStar organization.

A Look Back: From Public Debut to Integration

Matterport entered the public markets in 2021 via a merger with a special purpose acquisition company (SPAC), capitalizing on significant investor interest in metaverse-related technologies at the time. The firm established itself as a market leader, having digitized more than 50 billion square feet of space across 177 countries.

Shortly before the acquisition was completed, Matterport reported its financial results for the fourth quarter and full year 2024. The company posted total revenue of $169.7 million for 2024. Its annual recurring revenue reached $104.2 million in Q4.

The future development of Matterport’s technology and service offerings will now be guided by CoStar Group’s broader corporate strategy. Its innovation will continue as part of one of the largest players in the property technology industry.