HCI Group provides update on IPO of TypTap
HCI Group , a holding company with operations in homeowners insurance, information technology services, reinsurance and real estate, announced an update regarding the previously announced initial public offering of its subsidiary, TypTap Insurance Group.
“In light of recent market conditions, HCI’s Board of Directors determined that current market pricing for the planned offering does not accurately reflect TypTap’s value. Our primary objective has been and will continue to be maximizing the value and opportunity of TypTap. We believe we have the resources to execute TypTap’s growth plan without the funds raised from an IPO. We will continue to monitor market conditions over the next several quarters and will move forward with a TypTap IPO when and if conditions are appropriate.” – Paresh Patel, HCI Chairman and CEO.
Funded by HCI Group, TypTap was founded in 2016 to offer flood insurance but the company eventually extended its online quoting and binding platform to include home insurance. Its home insurance product is available in 8 states and its flood insurance product is available in 5 states. The company’s latest funding round was announced in February this year where Centerbridge Partners invested $100 million in TypTap at a post-money valuation of around $850 million.