Root
-
Root’s chief product officer, Hemal Shah, notified the company of his intention to resign, effective March 18 in a fresh executive departure. -
Investors are taking a second look at private valuations, as they realize that an IPO or a SPAC exit is no longer an attractive option in the short term.
-
The next generation must stay private longer, employ a partnership approach to capital and take the complexities of insurance more seriously.
-
Stock prices fluctuated, and InsurTech short-sellers took some profits.
-
Root also issued BlackRock warrants equal to 2% of all issued and outstanding shares on a diluted basis at an exercise price of $9.00 per share.
-
The InsurTech’s stock traded at $28.25 by midday Tuesday, down from its $163.93 peak in February 2021.
-
It is hard to see how the auto insurer can simultaneously address all of its challenges.
-
The share price of the auto InsurTech plunged after the company said it was cutting its headcount by 330 staffers, or about 20% of its workforce.
-
Recently terminated Root employees took to social media platforms to announce their dismissals, after the company eliminated about 20% of its workforce.
-
The company termed the massive headcount reduction as an “organizational realignment”.
-
The latest report shows even higher inflation pushing up severity, forcing carriers to take rate.
-
InsurTechs, including Lemonade, Root, Hippo, and Metromile, shed some short interest but remain the target of choice for short-sellers.
