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Compass finds its way to the public marketsINTL

Compass finds its way to the public markets

Turns out real estate brokerage company Compass does have a good sense of direction! The New York-based, largely tech-powered real estate company found its way to the public markets with a recent IPO filing.

Compass reported an impressive 56% jump in revenue last year (to $3.7b) due to a boom in housing prices. While the pandemic may have initially affected the market, the demand for residential homes quickly increased as the work-from-home restrictions encouraged people to look for better housing options. Bet your once-lovely one-bedroom apartment suddenly started feeling way too small, didn’t it? Same.

PS, Compass is backed by SoftBank’s Vision Fund, which would make it a success story for the fund (finally!) whose real estate investments have been rather hit-and-miss — let’s take a moment to pick on troubled office rental startup WeWork and disgraced construction tech company Katerra.

why it matters
By going public, Compass would be following the footsteps of other recently successful PropTech startups' path to IPO, such as Airbnb (ABNB) and Opendoor (OPEN).