PYMNTS-MonitorEdge-May-2024

Shopping App Spring Acquired By Compass, ShopRunner

Shopping app Spring has been acquired by two companies: real estate startup Compass and Alibaba-backed shopping app ShopRunner.

According to TechCrunch, Compass is taking an undisclosed element of the business, as well as key staff including Spring CTO Satwik Seshasai, Director of Engineering Jim Grandpre, and around 20 additional employees from the engineering team.

Seshasai will become Compass’s senior director of growth infrastructure, and Compass said the Spring team will be deployed alongside its existing team of engineers and other areas of the business “to help accelerate its technology roadmap and develop technologies that enhance the agent experience.” They will work under Compass Vice President of Engineering Priyendra Deshwal, and Head of Product Eytan Seidman.

“The team at Spring built a service-oriented brand and technology platform that attracted 2,000 of today’s top retailers,” Compass Founder and Executive Chairman Ori Allon said in a statement. “At Compass, we believe in investing in top talent which is why we welcome the opportunity to bring members of the Spring team on board. Our new Compass colleagues will execute against and innovate on ways to build the end-to-end real estate platform with real-time insights and technologies that will redefine the industry.”

As for ShopRunner, the company confirmed its acquisition of Spring, as well as a $40 million infusion of venture funding from August Capital, bringing its total equity funding to around $140 million. ShopRunner, a subscription-based digital shopping company, will use the cash for product development, data science and boosting its M&A strategy.

ShopRunner CEO Sam Yagan did not want to disclose ShopRunner’s latest valuation or the terms of the Spring deal. However, he did tell TechCrunch that ShopRunner’s valuation is in the “hundreds of millions” range and that the company had purchased Spring’s platform and will keep 30 of its employees, most of whom are engineers.

PYMNTS-MonitorEdge-May-2024