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Beeline Signs Non-Binding LOI to Buy Remaining MagicBlocks Stake

The proposed all-stock deal would fold MagicBlocks' AI and blockchain tools into Beeline to boost AI-driven lending, supporting its tokenized home-equity product.

Overview

  • Beeline disclosed May 28 that it entered a non-binding letter of intent to acquire the roughly 52% of MagicBlocks it does not already own, aiming to make MagicBlocks a wholly owned subsidiary.
  • The proposed transaction is planned as an all-stock deal supported by a third-party valuation of about $1 million and could close in June if definitive agreements are signed.
  • Completion is contingent on approvals from a Beeline board special committee, consent of SAFE noteholders, and employment agreements for MagicBlocks' founders, so the agreement remains preliminary.
  • Beeline says MagicBlocks' platform already powers its chatbot 'Bob,' which the company reports increased lead-to-lock conversions by about 8%, and that full ownership would let Beeline internalize AI, automate underwriting and scale production.
  • If closed, the deal would be used to advance BeelineEquity, the company's tokenized home-equity product with TYTL, create software-as-a-service revenue opportunities, and could lower origination and customer-acquisition costs if integration and execution proceed as planned.