New Home Co. Completes Acquisition of Landsea Homes Corporation (LSEA)

Market Cap: $249 million | Landsea Homes Corporation engages in the design, construction, marketing, and sale of suburban and urban single-family detached and attached homes in the United States.

On March 3, 2025, Mill Road Capital III, L.P. (6.5%) notified the company of its intention to nominate three directors at the 2025 Annual Meeting. Mill Road Capital also urged the company’s board to consider a sale to unlock shareholder value, citing the company’s depressed valuation at 0.48x tangible book value per share, significantly lower than peers. They argued that a sale at 1.0x tangible book value could result in a 108% premium to the current share price. Given Landsea’s inability to pursue meaningful buybacks or acquisitions due to financial constraints and its high leverage, Mill Road believed that strategic alternatives should be explored. Source

On June 25, 2025, New Home Co. has completed its acquisition of Landsea Homes Corporation. Matthew Zaist, New Home’s CEO, will lead the combined entity. Landsea shareholders received $11.30 per share in cash, and the stock has been delisted from NASDAQ. Source