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Metromile said its stockholders have approved its acquisition by digital insurer Lemonade. The transaction is expected to close in the second quarter pending regulatory approval.
The pay-per-mile auto insurance provider said it held a meeting Feb. 1, and that the all-stock transaction proposal announced in November was supported by nearly 96% of the votes cast, representing about 63% of the shares in the company.
Lemonade to Acquire Auto Insurer Metromile in Merger of Insurtechs
The deal has a fully diluted equity value of approximately $500 million, or just over $200 million net of cash.
New-York-based insurtech Lemonade is known for its renters, homeowners, pet, car, and life insurance products but announced shortly before its plans to acquire Metromile that it had started an auto insurance product, launched in Illinois.
San Francisco-based Metromile has 49 state licenses. In October 2021 Metromile said it hired a former Travelers Insurance executive to lead an effort to expand its use of independent agents.