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Metromile (San Francisco), a pioneer of pay-per-mile auto insurance, has completed its business combination with INSU Acquisition Corp. II, a publicly traded special purpose acquisition company sponsored by Cohen & Company, LLC, a subsidiary of Cohen & Company Inc. (Philadelphia). The Business Combination was approved Tuesday by INSU II’s stockholders.
The combined company is named Metromile, Inc., and its common stock will trade beginning February 10, 2021, on NASDAQ under the ticker symbol “MILE,” while its warrants will trade on NASDAQ under the ticker symbol “MILEW,” according to a Metromile statement
“Today is an important milestone for Metromile, but not the destination. We’re committed to providing customers fair, real-time and individualized insurance,” comments Dan Preston, CEO, Metromile. “We believe the future of insurance is technology that works to everyone’s benefit. As a public company, we believe we are well-positioned to accelerate our plans and deliver sustainable and profitable growth to our stockholders. We look forward to bringing our personalized digital insurance to communities nationwide and, through Metromile Enterprise, partnering with more insurers to modernize insurance everywhere.”
The Business Combination was funded by a combination of INSU II’s approximately $230 million cash-in-trust and $170 million of proceeds from the previously announced private placement of INSU II’s shares, which was fully committed by a pool of institutional and strategic investors.
Clear Competitive Advantage
“We are excited to close our business combination with Metromile and eagerly anticipate its next chapter in delivering real-time, personalized digital auto insurance nationwide,” comments Daniel Cohen, Chairman of the Board of Directors of INSU II. “Dan and his top-notch team of technologists and insurance veterans have built a business that has a clear competitive advantage and is on the forefront of the digital insurance evolution. This business combination provides Metromile with the capital necessary to execute on multiple growth opportunities successfully, and to help bring the era of fixed-price auto insurance to an end.”
J.P. Morgan Securities LLC served as exclusive financial advisor to Metromile, and Cooley LLP served as legal counsel to Metromile in connection with the transaction. Cantor Fitzgerald & Co., J.P. Morgan Securities LLC, Wells Fargo, Piper Sandler and Northland Capital Markets acted as capital markets advisors to INSU II. J.P. Morgan Securities LLC, Wells Fargo, and Allen & Company served as placement agents to INSU II, and Latham & Watkins LLP served as legal counsel to the placement agents. Ledgewood served as legal counsel to INSU II in connection with the transaction.
The CUSIP number for Metromile’s common stock is 591697 107 and 591697 115 for the warrants.