You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. What does that mean for hospitality jobs? As a part of its push into the residential sector, CoStar recently acquired Homesnap for $250 million. Your submission has been received! Over the course of their careers, Messrs. Gores and Metropoulos and their respective teams have invested in more than 180 portfolio companies through varying macroeconomic environments with a consistent, operationally-oriented investment strategy. We appreciate our close partnership with the Gores team and with our business combination completed, Sonder now has a very strong balance sheet to aggressively pursue our ambitious growth strategy, revolutionize hospitality, and deliver long-term value to shareholders., "Were proud to have partnered with Sonder and look forward to supporting their next chapter of growth," said Ted Fike, Senior Managing Director at The Gores Group. 2020, US$ 116.153 million Complete with self-service features, simple check-in and 24/7 on-the-ground support, amenities and services at Sonder are just a tap away, making a world of better stays open to all. SPAC Cash in Trust, US$ 450 million Gores Metropoulos II was formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. Sonders leases are also subject to early termination. ir@sonder.com Unless otherwise noted, any performance returns presented in these materials reflect hypothetical performance. However, the company reported up a loss of $54.6 million for its second quarter, on an adjusted EBITDA [earnings before interest, taxes, depreciation, and amortization] basis. The content and proprietary research found on this site, unless stated otherwise, has been entirely produced by Volt. Weil, Gotshal & Manges LLP is serving as legal advisor to GM II. For more investment insights, sign up for our email list below and subscribe to our YouTube channel. Obviously, tech and automation are part of why you have better profit margins compared to hotels. In addition to the very compelling narrative and numbers presented in Sonder's investor presentation, Sonder's strategic advantage relative to both incumbents and potential new entrants makes us believe Sonder's stock has the ability generate over 1,000% return in the next 5 years. Let's find people who need to relocate. Utilizing an option overlay strategy involves the risk that as the buyer of a put or call option, the buyer risks losing the entire premium invested in the option if the buyer does not exercise the option. For more information, please visit www.gores.com. There are some luxury hotels that do a great job, but it would be way better if those kinds of experiences were accessible to the many. Wilson Sonsini Goodrich & Rosati, P.C. SAN FRANCISCO & LOS ANGELES--(BUSINESS WIRE)--Sonder Holdings Inc. (Sonder'' or the Company), a leading next-generation hospitality company that is redefining the guest experience through technology and design, and Gores Metropoulos II, Inc. (Nasdaq: GMII, GMIIW and GMIIU), a special purpose acquisition company formed by affiliates of The Gores Group and Metropoulos & Co., announced strategic amendments to the terms of their previously announced definitive agreement (the Merger Agreement) to combine. Last year, OpenSpaces maps more than came in handy. is serving as legal advisor to Sonder. The amended terms revise the combined companys pro forma enterprise value to $1.925 billion. We should be conservative.". It currently operates 8,000 (with contracts for 10,000 more). However, in October, the firm scaled down its valuation to $1.9 billion in light of market conditions. All this allows them to cut down on operating costs by as much as ~50%. And it's typical for the landlord to fund it. Corporate Demand Guided Expansion Strategy Quarterly Results | Sonder Holdings Inc. Sard Verbinnen & Co Investors The deal would value Sonder at $2.2 billion, almost $1 billion more than its June valuation of $1.3 billion, and includes $650 million in total cash proceeds. The Registration Statement, including the proxy statement/consent solicitation statement/prospectus contained therein, when it is declared effective by the SEC, will contain important information about the proposed Business Combination and the other matters to be voted upon at a meeting of Gores Metropoulos IIs stockholders to be held to approve the proposed Business Combination and other matters (the Special Meeting) and is not intended to provide the basis for any investment decision or any other decision in respect of such matters. Weil, Gotshal & Manges LLP served as legal advisor to GM II. We improved unit economics by having landlords funding all of the investments required for a company to become a Sonder. The deal would value Sonder at $2.2 billion, almost $1 billion more than its June valuation of $1.3 billion, and includes $650 million in total cash proceeds. Two is that the vast majority of our travelers are domestic, not international. To ensure the most secure and best overall experience on our website we recommend the latest versions of, Internet Explorer is no longer supported. Chris Mammone, The Blueshirt Group According to Sonders presentation, the company had 2,000 live units in 2018, 5,000 live units in 2019, and 4,565 live units in 2020. We really skew toward Gen Z and millennials, where there's an expectation that these categories will come back. 2022. Subject to any redemptions by the public stockholders of Gores Metropoulos II and the payment of transaction expenses at the closing, the $200 million in Existing PIPE proceeds and approximately $110 million in proceeds from the New PIPEs will be used together with up to $450 million in cash in Gores Metropoulos IIs trust account and Delayed Draw Notes of $220 million to fund operations and support new and existing growth initiatives. Sonder the lodging startup known for turning properties into short-term rental buildings is going public via a special acquisition company (SPAC), Gores Sonder's CEO called the listing a historic moment for the company. Download the Sonder app on Apple or Google Play. In the past few years, we've shifted away from trying to get into existing buildings that are up and running, but rather working with developers to build new ones or do really substantial renovations on older ones. Francis Davidson, Sonders co-founder and CEO, called the listing a historic moment for the company, adding that it is a testament to how weve revolutionized the hospitality industry by reimagining and delivering what the modern traveler demands.. All references to available cash are subject to any redemptions by the public stockholders of GM II and payment of transaction expenses. GMII dropped 5.5% today and closed at $8.86. Something went wrong while submitting the form. Equipping the balance sheet with hundreds of millions of dollars through this transaction allows us to do that in a way that is super financially sound and finances a plan that can bring really rapid growth and investments in technology we think are really going to pay off big time. There's nothing like it. The Company also launched a corporate travel offering, opening its doors to even more business travelers and continues to grow its extended stays offering to capture new traveler groups. SAN FRANCISCO & LOS ANGELES--(BUSINESS WIRE)--Sonder Holdings Inc. (Sonder'' or the Company), a leading next-generation hospitality company that is redefining the guest experience through technology and design, today announced that it completed its previously announced business combination with Gores Metropoulos II, Inc. (Nasdaq: GMII, GMIIW, and GMIIU) (GM II), a special purpose acquisition company sponsored by affiliates of The Gores Group, LLC, and Metropoulos & Co. Takeaway: Regarding the 3 dimensions of price, design, and quality consistency, Sonder introduces technology to drive down the price dimension, so that it can score top marks on all 3. Hypothetical strategies and indices presented are unmanaged, do not reflect any fees, expenses, transaction costs, commissions or taxes, and one cannot invest directly in any of these. It's joining others in the real-estate tech world, such as WeWork, iBuyer Opendoor, and property-management technology company SmartRent. The results presented should not be viewed as indicative of the adviser skill and do not reflect the performance results that were achieved by any particular client. Hypothetical model results have many inherent limitations, some of which, but not all, are described herein. Managing Director In 2020, Sonder says they have 4,565 units. The SPACs investors include affiliates of Gores Metropoulos II, Fidelity Management & Research, funds and accounts managed by BlackRock Subsidiaries, Atreides Management, and Senator Investment Group. San Francisco-based Sonder Holdings Inc. (Sonder) officially launched in 2014 and was co-founded by Francis Davidson, Chief Executive Officer, and Martin Instantly search thousands of Decks by world-leading companies on Slidebook SPAC December 2016 Despegar Mergers and Acquisitions Sonder Start Up January 2019 Related decks Tripadvisor Investor Why should there be a concierge desk if you can message back and forth with a concierge in the same city you're in and get immediate responses? Fifth Wall Ventures, JBV Capital and Aleph VC also participated. The combined company will operate as Sonder Holdings Inc. and will commence trading its common stock and publicly traded warrants on the Nasdaq Global Select Market (Nasdaq) tomorrow under the ticker symbols SOND and SONDW, respectively. Sonder will receive approximately $110 million in additional capital from affiliates of Gores Metropoulos II and other leading investors, including Fidelity Management & Research LLC, funds and accounts managed by BlackRock, Atreides Management, LP, and Senator Investment Group (the New PIPEs), in addition to the $200 million previously announced PIPE (the Existing PIPE). San Franciscos short-term rental startupSonder has lowered its going-public-through-SPAC valuation down to $1.925 billion from the earlier planned $2.2 billion, as market conditions change and SPACs face more headwind. 2019, US$ 142.908 million In an investor presentation, Sonder said it generated $116.2 million in revenue in 2020 and lost $240.6 million. After the tough year that we've been through, there's one approach, which is stepping back and saying, "Hey, this is rough. Team: CEO Noam Ben-Zvi co-founded Placer with Zohar Bar-Yehuda, Oded Fossfeld, Ofir Lemel and Koby Ben-Zvi, Noams father. In an investor presentation, Sonder said it generated $116.2 million in revenue in 2020 and lost $240.6 million. The Hail Mary at the time was identifying other use cases. Please contact our IR department. Investor Presentation Goldman Sachs & Co. LLC is serving as exclusive financial advisor to Sonder. At a valuation of ~$2B and considering their estimated 2022 revenue, Sonder's revenue multiple would fall below the median multiple of upscale lodging companies like Hilton and Mariott, just above the median multiple of digital hospitality and real estate companies like Redfin and Tripadavisor, and below the median multiple of vertical disruptors like Uber, Doordash, and Airbnb. Gores Metropoulos II, Inc. (Nasdaq: GMII, GMIIW, and GMIIU) is a special purpose acquisition company sponsored by an affiliate of The Gores Group, LLC, a global investment firm founded in 1987 by Alec Gores, and by an affiliate of Metropoulos & Co. whose Principals are Dean, Evan and Daren Metropoulos. In addition, hypothetical trading does not involve financial risk, and no hypothetical trading record can completely account for the impact of financial risk in actual trading.While an option overlay is intended to improve performance, there is no guarantee that it will do so. Brokerage giant Realogy struck a massive deal with MoxiWorks, a real estate software startup. Investors should also understand that there is no guarantee that Volts investment strategies or decisions will prove to be profitable. jchou@gores.com Investor See here for a complete list of exchanges and delays. Unless otherwise noted, any performance returns presented in these materials reflect hypothetical performance. WebSonder Holdings, Inc., a leading next-generation hospitality company, and Gores Metropoulos II, Inc. announce closing of business combination. Wu only took $189,584, however, voluntarily donating the rest to a company relief fund for affected employees. We are happy to share any additional information with you on request. Sonder Discovers Growth Comes at We're talking about a cost structure that's roughly, on an operating-cost basis, up to 50% lower than traditional. The startups early investors include BDC Capital, Spark Capital, Thayer Ventures, ScaleUP Ventures, and Real Ventures. Reuters, the news and media division of Thomson Reuters, is the worlds largest multimedia news provider, reaching billions of people worldwide every day. In terms of real estate supply availability, Sonder has just scratched the surface with only 0.8% of new apartment units to be contracted in their current US markets, and only 1.8% of global hotel units to be contracted. The industry leader for online information for tax, accounting and finance professionals. ir@sonder.com, For The Gores Group and affiliates: press@sonder.com, Investor Contacts We're not cutting a check 90% of the time now when a property opens. The idea is that Sonder is not a short-term-rental company. Investors should be aware of the inherent risks involved in investing in the markets and that past performance is not an indication of future results. To ensure the most secure and best overall experience on our website, we recommend the latest versions of. These risks, uncertainties, assumptions and other important factors include, but are not limited to: (a) the occurrence of any event, change or other circumstances that could give rise to the termination of the Merger Agreement (as amended by that certain Amendment No. We think the current online players are overly focused on capturing agents fees.. These forward-looking statements are based on Sonders managements current expectations, estimates, projections and beliefs, as well as a number of assumptions concerning future events. February 24, 2022 Updated: March 3, 2022 Leading up to Sonder's SPAC merger with Gores Metropoulos II, Sonder gave an investor presentation in November Except as required by law, Sonder does not undertake any obligation to update or revise its forward-looking statements to reflect events or circumstances after the date of this report. These risks, uncertainties, assumptions and other important factors include, but are not limited to: (a) the ability to recognize the anticipated benefits of the proposed business combination, which may be affected by, among other things, competition, the ability of the combined company to grow and manage growth profitably, maintain relationships with real estate owners and developers, guests and suppliers and retain its management and key employees; (b) changes in applicable laws or regulations, including legal or regulatory developments (such as changes in local laws affecting hotels, apartments and other accommodation and regulatory developments related to special purpose acquisition companies); (c) the possibility that Sonder may be adversely affected by other economic, business and/or competitive factors; (d) risks related to the impact of the COVID-19 pandemic, including the Omicron and other variants and potential governmental and other restrictions (including travel restrictions) resulting therefrom; and (e) other risks and uncertainties described in the final proxy statement/prospectus/consent solicitation statement, including those under the heading Risk Factors therein, and other documents filed by the Company from time to time with the SEC. The De-SPAC Index, which tracks 25 such companies, is down 28% in 2022. Sovereign Wealth Fund Institute (SWFI) is a global organization designed to study sovereign wealth funds, pensions, endowments, superannuation funds, family offices, central banks and other long-term institutional investors in the areas of investing, asset allocation, risk, governance, economics, policy, trade and other relevant issues. Rental Startup Sonder Agrees to Go Public in $2.2B SPAC Merger WebThe Investor Relations website contains information about Sonder Holdings Inc.'s business for stockholders, potential investors, and financial analysts. The two clear takeaways are: (1) travel is rebounding and (2) Gores and Metropoulos arent worried about the impending regulatory crackdown on SPACs. Gores Metropoulos II, Inc. (Nasdaq: GMIIU, GMII and GMIIW), a special purpose acquisition company sponsored by an affiliate of The Gores Group, LLC, a global investment firm founded in 1987 by Alec Gores, and by an affiliate of Dean Metropoulos of Metropoulos & Co., announced that they have entered into a definitive agreement to combine with Sonder. The company projects GAAP revenue, a standardized accounting measure, to increase from $116 million last year to almost $4 billion in 2025. One of the limitations of hypothetical performance results is that they are generally prepared with the benefit of hindsight. There are a lot of organizations that put out forecasts, like Smith Travel Research and CBRE. 2021, Volt Equity (Volt). In the next three to five years, we expect to be truly global with presence in Latin America and the Asia-Pacific region., RELATED: All signs point to Montral as home of Sonders second headquarters. Volt does not purport to provide any legal, tax, or accounting advice. The US$ 200 million PIPE investment is led by an affiliate of The Gores Group, with participation from top-tier institutional investors, including Fidelity Management & Research Company LLC, funds and accounts managed by BlackRock, Atreides Management, LP, entities affiliated with Moore Capital Management, Principal Global Investors, LLC, and Senator Investment Group. And when that happens if you're building a building where every unit is $500,000, spending an extra $10,000 to bring it up to Sonder standard it's easy to show the owner the benefits we bring to the table. Additional risks and uncertainties are identified and discussed in Sonders reports filed and to be filed with the SEC and available at the SECs website at www.sec.gov. San Francisco-based Sonder works with real estate developers, who build the properties that Sonder later operates under its brand name. Volt does not seek to solicit or offer any of its products or services to any persons to whom doing so would otherwise be prohibited under the laws applicable to their place of citizenship, domicile or residence.Some of the content on this site may contain forward-looking statements, including but not limited to statements related to future expectations, based on Volts current outlook and assumptions. In the past year alone, weve launched in three additional countries and expanded our operations in dozens of other markets, and we expect to continue to scale our business and innovate to adapt to the needs of emerging traveler segments like digital nomads.. I remember being in a war room in February 2020, seeing our Italy numbers start going down every week.We've been an international business since 2015. GAAP Revenue To ensure the most secure and best overall experience on our website, we recommend the latest versions of. Forward-looking statements include information concerning Gores Metropoulos IIs or Sonders possible or assumed future results of operations, business strategies, debt levels, competitive position, industry environment, potential growth opportunities and the effects of regulation, including whether this proposed Business Combination will generate returns for stockholders. Except as required by law, neither Gores Metropoulos II nor Sonder undertakes any obligation to update or revise its forward-looking statements to reflect events or circumstances after the date of this release. This press release contains a number of forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Overview | Sonder Holdings Inc. Investor Relations Resources & Information Company Overview Sonder is revolutionizing hospitality through innovative, Compass acquired digital closing startup Glide for an undisclosed sum. Investors It's interesting to see how Sonder's narrative has evolved from when they raised their series D in 2019 to when they were targeted for a SPAC in 2021. The CEOs of Opendoor and Porch saw hefty stock and options in a year when both companies went public. We've always built a really financially diligent company, but we took this to the next level. Its analytics can be used to ensure workers comply with safety standards; managers can use it to benchmark performance. Sonder will be scheduling a bell ringing ceremony with Nasdaq at a later date to formally celebrate its public listing. 99.2 We have a lot of processes that are frankly akin to an investment committee at a private-equity firm. Although the travel sector still faces strong headwinds due to COVID-19, Davidson said the company remains aggressively optimistic on the future of travel, citing Sonders record Q2 and Q3 2021 performance as evidence of the resiliency of its business. GM II raised $450 million through an initial public offering in January. Access unmatched financial data, news and content in a highly-customised workflow experience on desktop, web and mobile. Sonder Lowers Valuation to $1.9 Billion and Raises More Money We sat down with Francis Davidson, Sonder's cofounder and CEO who founded the company by renting out his college apartment to discuss the deal and the future of travel. When available, the definitive proxy statement/consent solicitation statement/prospectus will be mailed to Gores Metropoulos II stockholders as of a record date to be established for voting on the proposed Business Combination and the other matters to be voted upon at the Special Meeting. We reported company-record quarterly revenue in Q2 and are eager to pursue continued growth, said Francis Davidson, Co-Founder and CEO of Sonder. Sonder announced that it's going public via a SPAC deal that values the company at $2.2 billion. There might not be a better time, in the history of hospitality, to bring our revolutionary concept to the forefront. To learn more, visit www.sonder.com or follow Sonder on Facebook, Twitter or Instagram. Sonder will retain its experienced management team. Stanza Living, an India-based co-living company, raised a $102M Series B. Sonder Holdings Inc. and Gores Metropoulos II Announce It's like a hybrid of Airbnb and Hilton, turning apartments into hotel suites. Shares of Gores Metropoulos II rose 0.5% in afternoon trading on Friday. Goldman Sachs serves as the financial advisor to Sonder, while Morgan Stanley is the lead financial advisor to Gores Metropoulos. The idea of contactless service and skipping the front desk and going straight to your room are things that are now sought out by a larger share of consumers. Takeaway: Given industry multiples and Sonder's growth rate, Sonder's valuation seems like the deal of a lifetime. And in those cases, it's commonplace in the hospitality industry to have a reserve for capital improvements. Takeaway: Even with Sonder's phenomenal historical growth (and jaw-dropping estimated future growth), there will still be a LOTof room for even more growth in this core lodging market for many years to come. A key takeaway from todays news is that our ambitious growth and expansion strategy remains unchanged and should be fully-funded. We spoke with Sonder's Francis Davidson about the deal and his outlook on the hospitality industry. The San-Francisco-based company was in talks with Gores about going public in In conjunction with the round, Guesty said it acquired rival Your Porter just a month after buying MyVR. 2018, US$ 68 million, Net Income Moreover, Sonder has signed a non-binding term sheet for Delayed Draw Notes of $220 million with existing PIPE investors, to be available following the closing of the proposed business combination, which enables the Company to fund its growth over the next several years. Our view was that we wanted to lean into the recovery. Moelis & Company LLC acted as additional financial advisor to Gores Metropoulos II. 1 to Agreement and Plan of Merger, dated as of October 27, 2021, by and among Gores Metropoulos II, Sonder and the other parties to the Merger Agreement (such amendment, Amendment No. And their expected growth rate is also head and shoulders above the median of each of those industries. Also, securities and options traded in over-the-counter markets may trade less frequently and in limited volumes and thus exhibit more volatility and liquidity risk.The content on this site is not intended to serve as financial advice nor should it be the sole basis for any investment decisions. Messrs. Gores and Metropoulos together have over 100 years of combined experience as entrepreneurs, operators and investors across diverse sectors including industrials, technology, media and entertainment, business services, healthcare and consumer products and services. As part of the proposed business combination, the Company will receive approximately $110 million in incremental capital from affiliates of Gores Metropoulos II and other leading investors including Fidelity Management & Research Company LLC, funds and accounts managed by BlackRock, Atreides Management, LP, and Senator Investment Group pursuant to the New PIPEs, in addition to the $200 million Existing PIPE, which continues to be led by affiliates of Gores Metropoulos II, with participation from top-tier institutional investors including Fidelity Management & Research Company LLC, funds and accounts managed by BlackRock, Atreides Management, LP, funds and accounts managed by Principal Global Investors, LLC, and Senator Investment Group. 2023. We strongly believe that Sonder is the hospitality brand of tomorrow and have high conviction that the company will continue to grow, which is why we are increasing our initial investment, said Alec Gores, Chairman and CEO of The Gores Group and CEO of Gores Metropoulos II. 1, will be provided in a Current Report on Form 8-K which will be filed by Gores Metropoulos II with the SEC and will also be available at www.sec.gov. Many services like the front desk, concierge, customer service, cleaning are replaced with their app. We appear to be moving pastthe pandemic disruption. Hypothetical model results have many inherent limitations, some of which, but not all, are described herein. u2014 CoStar CEO Andy Florance. Other third-party content, logos and trademarks are owned by their perspective entities and used for informational purposes only. So we think there's actually been a leapfrogging of behavior that maps really closely to the way that we've been operating our business. Lodging Firm Sonder Agrees to $2.2 Billion Gores SPAC Merger 1)) and the proposed Business Combination contemplated thereby; (b) the inability to complete the proposed Business Combination due to the failure to obtain approval of the stockholders of Gores Metropoulos II or other conditions to closing in the Merger Agreement (as amended by Amendment No. This works really well for apartments, which is where we got started, but we realized that we could actually do this and operate hotels more effectively. WebCombination with Gores Metropoulos II . Finsbury Glover Hering The business was heavily impacted when the global pandemic brought the travel industry to a halt last year, but has rebounded as it targets millennial leisure travelers, said Chief Executive and co-founder Francis Davidson. Inspirato is the innovative luxury hospitality brand that provides affluent travelers access to a managed and controlled portfolio of hand-selected vacation options, delivered through a subscription model to ensure the service and certainty that affluent customers demand. Additional risks and uncertainties are identified and discussed in Gores Metropoulos IIs reports filed with the SEC and available at the SECs website at www.sec.gov. I think it's really important to underscore that we are a technology meets operations company. It currently operates more than 300 properties in 35 markets.
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