TypTap requests to withdraw its IPO filing
Early last year, HCI Group, the parent company of home insurance provider TypTap, said that it will delay the TypTap IPO that was filed in August 2021.
“In light of recent market conditions, HCI’s Board of Directors determined that current market pricing for the planned offering does not accurately reflect TypTap’s value,” said Paresh Patel, HCI chairman and CEO. Patel added that the company believes it has the resources to execute TypTap’s growth plan without the funds raised from the IPO, and it will monitor market conditions over the next several quarters and move forward with the IPO when and if conditions are appropriate.
Now, based on a filing with the SEC, TypTap is requesting to withdraw its registration statement.
Founded in 2016, TypTap publicly disclosed a $100 million funding round at a post-money valuation of ~$850 million. It offers home insurance in several states, but most of its business comes from Florida. The company ended 2022 with a combined ratio of 118.3% and 60.7k policies.
TypTap recorded a ~$32 million loss for the year and at December 31, 2022, it had cash, cash equivalents and short-term investments in the amount of $129,191,332.