Lemonade Set to Buy Insurer Metromile in Its First Takeover

Photographer: Gabby Jones/Bloomberg
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Lemonade Inc. is bolstering its nascent auto-insurance business by acquiring pay-per-mile insurer Metromile Inc. in its first takeover.

The deal values San Francisco-based Metromile, which went public via a merger with a blank-check company earlier this year, at roughly $500 million, according to a statementBloomberg Terminal Monday. Metromile shareholders will receive Lemonade common shares at a ratio of 19 to 1, and the deal is expected to close by mid-2022.