Real estate brokerage Compass to buy rival Anywhere in $4.2 billion deal

(Reuters) -Compass will buy rival brokerage Anywhere Real Estate in an all-stock deal valued at $4.2 billion, the companies said on Monday.

The Madison, New Jersey-based Anywhere’s shares soared 51% in premarket trading, while Compass’s shares fell nearly 15%.

The combined company is expected to have an enterprise value of about $10 billion, including debt.

Each share of Anywhere common stock will be exchanged for 1.436 class A shares of Compass, resulting in an equity value of about $1.6 billion, according to Reuters calculations.

(Reporting by Aatreyee Dasgupta in Bengaluru; Editing by Sahal Muhammed)