reAlpha Tech Corp. (“reAlpha” or the “Company”) (Nasdaq: AIRE),
a real estate technology company developing and commercializing
artificial intelligence (“AI”) technologies, today announced that
it has acquired 85% of the outstanding equity in AiChat Pte. Ltd.
(“AiChat”).
AiChat is an award winning Singapore-based company that develops
AI-powered conversational customer experience solutions that
provide enterprise customers with intelligent chatbots and
automation tools that improve customer interactions and operational
efficiency. The Company will acquire the remaining 15% on June 30,
2025.
The total purchase price is $1.14 million, which is payable in
shares of the Company’s common stock in three tranches beginning no
later than January 1, 2025. The Company has also agreed to infuse
$300,000 into AiChat at such time determined by the parties. This
strategic acquisition marks a significant milestone in reAlpha’s
growth trajectory and underscores its commitment to expanding its
technological capabilities and market presence in the Asia-Pacific
(APAC) region.
reAlpha expects that integrating AiChat's conversational AI and
customer experience platform, which supports over 250 languages,
into its business will enhance reAlpha’s technological capabilities
by providing customers with more robust and intelligent customer
interaction tools due to the sentiment analysis and machine
learning capabilities from AiChat’s platform.
Additionally, reAlpha believes that AiChat’s platform
capabilities and already established sales channels will increase
usage and visibility of its technologies and platforms, including
Claire, reAlpha’s commission-free homebuying platform, which in
turn is expected to lead to more customers using reAlpha’s
platforms when seeking real estate solutions, including homebuyers
purchasing a home via Claire. As a result of this acquisition,
reAlpha believes its brand and market position in the AI industry
will be further bolstered by leveraging AiChat’s brand and
expertise in such industry.
The global conversational AI market, the industry AiChat
operates in, is projected to expand from $13.2 billion in 2024 to
$49.9 billion by 2030, growing at a compound annual growth rate
(CAGR) of 24.9% over the forecast period.
Giri Devanur, CEO of reAlpha, commented, “We are thrilled to
welcome AiChat to the reAlpha group. We believe this accretive
acquisition is a large step in our journey to bring the global real
estate industry into the digital era. AiChat’s innovative platform
and talented team will accelerate our efforts to make Claire set
the new standard for efficiency, accessibility and reliability when
it comes to buying a new home.”
Kester Poh, AiChat's CEO and founder, along with the key
management team, are expected to continue to lead AiChat as part of
the reAlpha group. reAlpha believes that this will ensure
continuity and leverage their domain expertise to drive forward the
combined company’s vision. Mr. Poh added, “Joining forces with
reAlpha opens up exciting new opportunities for AiChat. We look
forward to integrating our technology with reAlpha’s resources and
expertise, which will help us to enhance our product offerings and
expand our market leadership.”
For additional details concerning the terms of this acquisition,
please reference the Company’s Current Report on Form 8-K which
will be filed with the U.S. Securities and Exchange Commission (the
“SEC”).
About reAlpha Tech Corp.
reAlpha is a real estate technology company with a mission to
shape the property technology, or “proptech,” market landscape
through the commercialization of artificial intelligence
technologies and strategic synergistic acquisitions that complement
our business model. For more information about reAlpha, visit
www.realpha.com.
About Claire
Claire, announced on April 24, 2024, is reAlpha’s generative
AI-powered, zero-commission homebuying platform. The tagline: No
fees. Just keys.TM
Claire's introduction aligns with major shifts in the real
estate sector after the National Association of Realtors (NAR)
agreed to settle certain lawsuits after they were found to have
violated antitrust laws, resulting in inflated fees paid to
buy-side agents. This development is expected to result in the end
of the standard 6 percent sales commission, which equates to
approximately $100 billion in realtor fees paid annually. Claire
offers a cost-free alternative for homebuyers by utilizing an
AI-driven workflow that assists them through the home buying
process.
Homebuyers can use Claire’s conversational interface to guide
them through every step of their journeys, from property search to
closing the deal. By offering support 24/7, Claire is poised to
make the homebuying process more efficient, enjoyable and
cost-efficient. Claire matches buyers with their dream homes using
over 400 data attributes and provides insights into market trends
and property values. Additionally, Claire can assist with
questions, booking property tours, submitting offers, and
negotiations.
Currently, Claire is under limited availability for homebuyers
located in Palm Beach, Miami-Dade and Broward counties in South
Florida, but we are actively seeking new MLS and brokerage licenses
that will allow us to expand into a larger number of U.S.
states.
For more information on Claire, please visit www.reAlpha.com
About AiChat Pte. Ltd.
AiChat Pte. Ltd. is a Singapore-based company that develops
AI-powered conversational customer experience solutions. Its
platform leverages artificial intelligence to provide businesses
with intelligent chatbots and automation tools that improve
customer interactions and operational efficiency. For more
information about AiChat, visit www.aichat.com.
Forward-Looking Statements
The information in this press release includes “forward-looking
statements”. Forward-looking statements include, among other
things, statements about the AiChat acquisition; the anticipated
benefits of the AiChat acquisition, reAlpha’s ability to anticipate
the future needs of the short-term rental market; future trends in
the real estate, technology and artificial intelligence industries,
generally; and reAlpha’s future growth strategy and growth rate. In
some cases, you can identify forward-looking statements by
terminology such as “may”, “should”, “could”, “might”, “plan”,
“possible”, “project”, “strive”, “budget”, “forecast”, “expect”,
“intend”, “will”, “estimate”, “anticipate”, “believe”, “predict”,
“potential” or “continue”, or the negatives of these terms or
variations of them or similar terminology. Factors that may cause
actual results to differ materially from current expectations
include, but are not limited to: reAlpha’s limited operating
history and that reAlpha has not yet fully developed its AI-based
technologies; reAlpha’s ability to commercialize its developing
AI-based technologies; whether reAlpha’s technology and products
will be accepted and adopted by its customers and intended users;
reAlpha’s ability to integrate the business of AiChat into its
existing business and the anticipated demand for AiChat’s services;
the inability to maintain and strengthen reAlpha’s brand and
reputation; the inability to accurately forecast demand for
short-term rentals and AI-based real estate focused products; the
inability to execute business objectives and growth strategies
successfully or sustain reAlpha’s growth; the inability of
reAlpha’s customers to pay for reAlpha’s services; changes in
applicable laws or regulations, and the impact of the regulatory
environment and complexities with compliance related to such
environment; and other risks and uncertainties indicated in
reAlpha’s SEC filings. Forward-looking statements are based on the
opinions and estimates of management at the date the statements are
made and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ
materially from those anticipated in the forward-looking
statements. Although reAlpha believes that the expectations
reflected in the forward-looking statements are reasonable, there
can be no assurance that such expectations will prove to be
correct. reAlpha’s future results, level of activity, performance
or achievements may differ materially from those contemplated,
expressed or implied by the forward-looking statements, and there
is no representation that the actual results achieved will be the
same, in whole or in part, as those set out in the forward-looking
statements. For more information about the factors that could cause
such differences, please refer to reAlpha’s filings with the SEC.
Readers are cautioned not to put undue reliance on forward-looking
statements, and reAlpha does not undertake any obligation to update
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, except as required by
law.
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version on businesswire.com: https://www.businesswire.com/news/home/20240715820562/en/
For media inquiries:
ICR on behalf of reAlpha media@realpha.com
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