LONDON, UK: Spinnaker Acquisitions Plc is in the advanced stages of the application process with the Financial Conduct Authority and the London Stock Exchange (“LSE”) for the admission of the company’s ordinary shares to the standard segment of the Official List and to trading on the LSE’s Main Market under the ticker “ONDO”.
As per the company’s announcement of 13 December 2021, Spinnaker Acquisitions Plc has conditionally agreed to acquire the entire issued share capital of HomeServe Labs Ltd (“Labs”), a wholly owned subsidiary of FTSE250 quoted public company HomeServe Plc, by way of a reverse takeover conditional, inter alia on relisting and successful completion of fundraising activities to be undertaken by way of a placing and direct subscriptions by new and existing investor.
If the Proposed Transaction proceeds to completion, it is proposed to change the name of the Company to Ondo InsurTech Plc and the name of Labs, which will become a subsidiary of the Company, to LeakBot Ltd.
Whilst the terms of the Proposed Transaction have been agreed, the acquisition remains subject to the satisfaction of certain conditions. Accordingly, there is no certainty that the Proposed Transaction will proceed. Should the Proposed Transaction not proceed, then the Company would need to apply for the suspension of its listing of ordinary shares to be lifted and for trading to be restored.
Labs Highlights
– Labs is a B2B Insurtech business and a wholly owned subsidiary of HomeServe PLC. Craig Foster originally set up an innovation team for HomeServe PLC group during 2014, designed to incubate a range of new ideas for the group. During 2014- 2018, Labs developed and patented the underlying technologies for a propriety leak detection system. The leak detection system is called LeakBot.
– The LeakBot system is a patented water security system that prevents small leaks from turning into insurance claims. This is achieved through the installation of patented technology (the LeakBot system) at insured households by end insured consumers and the provision of claims mitigation services such as find and fix plumbing repairs and data to assess risk. Insurers in the UK, Denmark, Sweden, Ireland and the US pay Labs for the LeakBot system and derive the benefit of claims mitigation through the prevention of leaks at insured households.
– Water damage is one of the number one claims on home insurance and accounts for approximately 30% of claims paid in the UK and USA, two of Labs’ target markets. This accounts for over $17 billion of claims annually across the USA and UK.
As at today, there are 35,000 registered LeakBot devices (with19,500 shipping in the last 12 months) supplied to partners. The Company is in discussions with eleven potential partners in the UK and US to enter into further partner contracts. The LeakBot device has a 4.8 / 5 Trustpilot review which the Directors believe validates the offering for end-consumers.
Craig Foster, CEO of Labs said: “LeakBot is the first IOT leak prevention system that is in roll-out with multiple carriers and in operation in multiple countries. Now we will be one of the first InsurTechs to IPO in the UK. This is a huge credit to the great team that have worked so hard to figure this out over the last few years, and to our innovative insurance partners who want to break the status quo and find a better solution for their customers and for the environment. Together, we will reduce claims, reduce waste, save water and lower the costs of insurance. We are very excited about what lies ahead.”
Andy Morrison, Chairman of SPAQ, added: “Since announcing the exchange of the Sale and Purchase Agreement on 13 December 2021, we have continued to make excellent progress towards execution of the transaction. I look forward to soon handing over the reins into the capable hands of Craig and the Labs team, while continuing as a committed director and shareholder of the enlarged company.”
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