Celebration, FL, Sept. 17, 2024 (GLOBE NEWSWIRE) — La Rosa Holdings Corp. (NASDAQ: LRHC) (“La Rosa” or the “Company”), a holding company for six agent-centric, technology-integrated, cloud-based, multi-service real estate segments, today announced that it has entered into a non-binding Letter of Intent to acquire a real estate brokerage firm with over 950 agents and offices in multiple states. The firm also offers a proprietary cloud-based Software-as-a-Service (SaaS) platform tailored for real estate agents and generated more than $19.0 million in revenue for 2023.
Joe La Rosa, CEO of the Company, commented, “This potential strategic acquisition aligns with our vision of advancing technology-driven real estate solutions, expanding our market presence, and providing agents with greater value through innovative, integrated platforms. If this acquisition is consummated, the brokerage firm’s advanced SaaS platform would play a pivotal role in driving our continued innovation and value delivery to our agents. By integrating this sophisticated technology into our operations, we would be able to offer agents enhanced flexibility and efficiency in managing their day-to-day activities. We believe that this upgraded capability would streamline their workflows, reduce administrative burdens, and optimize their productivity. As a result, agents would be better equipped to respond to client needs swiftly and effectively, providing a higher level of service. Additionally, the brokerage firm operates in several states where we are not currently present, so once consummated this potential acquisition may provide us with valuable opportunities to introduce our ancillary services, such as title insurance, property management, and other complementary offerings, to new markets. By entering new regions, we would increase our service footprint and further enhance our ability to address diverse client needs across a broader geographic area.”
“We recently announced that we have onboarded over 400 agents since June 1, 2024, demonstrating significant growth and interest in our platform. Our goal is to exceed 4,000 agents by year-end, and we believe this acquisition, once consummated, can help us achieve that milestone. We expect that the addition of this brokerage firm and its extensive network would substantially boost our agent count and enhance our overall market presence. With our strategic focus on acquisitions and the rapid expansion of our agent base, we are projecting an annualized revenue run rate of $100 million by the end of 2024. This forecast reflects our commitment to scaling our operations and capturing a larger share of the market. We anticipate achieving profitability in 2025, supported by our growing revenue streams and efficient integration of new agents and technology. We believe that our ongoing efforts to expand our network and optimize our services are key drivers of our financial and operational goals, positioning us for sustained success in the coming years,” concluded Mr. La Rosa.
The consummation of the acquisition is subject to, and contingent upon, the execution of a definitive agreement and other related transaction documents by the parties, corporate approval and customary closing conditions. There can be no assurances that the acquisition will be consummated.
About La Rosa Holdings Corp.
La Rosa Holdings Corp. (Nasdaq: LRHC) is disrupting the real estate industry by offering agents a choice between a revenue share model or an annual fee-based model with 100% agent commissions. Leveraging its proprietary technology platform, La Rosa empowers agents and franchisees to deliver top-tier service to their clients. The Company provides both residential and commercial real estate brokerage services and offers technology-based products and services to its sales agents and franchise agents.
La Rosa’s business model is structured around internal services for agents and external services for the public, including residential and commercial real estate brokerage, franchising, real estate brokerage education and coaching, and property management. The Company has 24 La Rosa Realty corporate real estate brokerage offices and branches located in Florida, California, Texas, Georgia, and Puerto Rico. The Company also has 13 La Rosa Realty franchised real estate brokerage offices and branches and two affiliated real estate brokerage offices in the United States and Puerto Rico.
For more information, please visit: https://www.larosaholdings.com.
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Forward-Looking Statements
This press release contains forward-looking statements regarding the Company’s current expectations that are subject to various risks and uncertainties. Such statements include statements regarding the Company’s ability to grow its business and other statements that are not historical facts, including statements which may be accompanied by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Actual results could differ materially from those described in these forward-looking statements due to certain factors, including without limitation, the Company’s ability to achieve profitable operations, our ability to successfully integrate acquisitions into our business operations, customer acceptance of new services, the demand for the Company’s services and the Company’s customers’ economic condition, the impact of competitive services and pricing, general economic conditions, the successful integration of the Company’s past and future acquired brokerages, the effect of the recent National Association of Realtors’ landmark settlement on our business operations, and other risk factors detailed in the Company’s filings with the United States Securities and Exchange Commission (the "SEC”). You are urged to carefully review and consider any cautionary statements and other disclosures, including the statements made under the heading “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2023, and other reports and documents that we file from time to time with the SEC, including our Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2024. Forward-looking statements contained in this press release are made only as of the date of this press release, and La Rosa does not undertake any responsibility to update any forward-looking statements in this release, except as may be required by applicable law. References and links to websites have been provided as a convenience, and the information contained on such websites has not been incorporated by reference into this press release.
For more information, contact: info@larosaholdings.com
Investor Relations Contact:
Crescendo Communications, LLC
David Waldman/Natalya Rudman
Tel: (212) 671-1020
Email: LRHC@crescendo-ir.com
