IAC's HomeAdvisor Acquires HomeStars, the Leading Canadian Home Services Platform
GOLDEN, Colo., and TORONTO, Feb. 9, 2017 /PRNewswire/ -- HomeAdvisor, an IAC (NASDAQ: IAC) company and the operator of the largest home services marketplaces across the globe, today announced it has acquired HomeStars, the leading home services platform connecting homeowners with service providers throughout Canada.
With the acquisition of HomeStars, HomeAdvisor strengthens its North American market leadership position in digital marketplaces dedicated to home services. HomeStars joins HomeAdvisor market leaders in Germany (MyHammer), France (Travaux.com), Netherlands (Werkspot) and Italy (Instapro) as HomeAdvisor looks to build on domestic momentum and accelerate international growth.
"The acquisition of HomeStars is the latest move in HomeAdvisor's larger strategy to replicate the enormous success we've seen domestically to other markets - allowing us to build a dominant global business and brand," said Chris Terrill, CEO of HomeAdvisor. "As digital alternatives increasingly replace word of mouth for home improvement projects, home services are poised to become the next major marketplace, and HomeAdvisor and its family of brands the de facto provider across the world."
Founded in 2006 by Nancy Peterson, HomeStars connects a growing number of Canada's nine million homeowners with trusted reputable service providers. The Canadian market for home services continues to grow: Canadian households spent CA$71 billion on home improvement in 2015, up from CA$45 billion in 2006.
"HomeAdvisor has a proven playbook for building a successful digital marketplace," said Peterson. "We are thrilled to join forces with the company on the front lines of transforming the way homeowners discover and connect with a wide variety of vetted home services – from plumbing to painting to remodeling – able to unlock their home's true potential."
Last week HomeAdvisor's parent company, IAC, released its fourth quarter 2016 results; during this time period HomeAdvisor revenue increased 35% to US$123.7 million, driven by a 39% increase in domestic revenue and a 27% increase in international revenue. Full year 2016 HomeAdvisor revenue was US$498.9 million, up 38% year-over-year, accelerating from the 27% revenue growth in 2015. Full results and a letter to shareholders from IAC CEO Joey Levin can be found at www.iac.com/Investors.
HomeAdvisor is a leading nationwide digital home services marketplace providing homeowners the tools and resources for home repair, maintenance and improvement projects. HomeAdvisor's marketplace lets homeowners view average project costs using True Cost Guide, find local prescreened home professionals and instantly book appointments online, through HomeAdvisor's award-winning iOS and Android mobile app, and smart home devices such as Amazon Echo. HomeAdvisor is based in Golden, Colo., and is an operating business of IAC (NASDAQ: IAC).
Celebrating its 11th year, HomeStars is the leading online community connecting homeowners and home improvement companies in Canada. It's a free service helping homeowners find reputable professionals through its database of two million companies and hundreds of thousands of reviews. Homeowners write reviews based on their home improvement experiences -- both good and bad -- to help others make better hiring decisions. The integrity team at HomeStars validates every review before it is published. Homeowner ratings, as well as many other data points, form the basis of Star Score, a proprietary score out of 100% that grades each home improvement company. To learn more, visit @HomeStars on Facebook, Twitter or Instagram.
IAC Investor Relations Mark Schneider (212) 314-7400
IAC Corporate Communications Isabelle Weisman (212) 314-7361
HomeAdvisor Corporate Communications Brooke Gabbert (303) 963-8173
HomeStars Communications Carolyn Kilbourne - Carlaw Communications (416) 399-4767
SOURCE IAC and HomeAdvisor