Black Knight (BKI) Stock

Andy Walden, Black Knight VP of enterprise research strategy, and CNBC's Diana Olick join 'The Exchange' to discuss higher rates crushing affordability for potential home buyers, the path to normalization in the housing market, and the lack of inventory leading to higher prices.

Intercontinental Exchange (ICE) completed its $11.9 billion purchase of software, data, and analytics company Black Knight (BKI) after federal regulators dropped their opposition to the deal.

Andy Walden, Black Knight VP of enterprise research strategy, joins 'The Exchange' to discuss affordability in the housing market, expectations for downward pressure on rentals, and why supply is driving the hottest U.S. home markets.

Black Knight (BKI) came out with quarterly earnings of $0.44 per share, missing the Zacks Consensus Estimate of $0.50 per share. This compares to earnings of $0.65 per share a year ago.

ICE and Black Knight are selling Black Knight's Optimal Blue business to comply with regulatory concerns about ICE's purchase of Black Knight.

Constellation Software Inc announced on Monday that its Perseus operating group has agreed to acquire Optimal Blue, a business owned by Intercontinental Exchange subsidiary Black Knight Inc, for a total consideration of US$700 million. Constellation said the US$700 million deal price will be comprised of US$200 million in cash and a US$500 million promissory note payable upon closing of the transaction.

Black Knight Inc.'s BKI, +0.07% stock was up 14% in premarket trades on Monday after the company said it agreed to sell its Optimal Blue unit for $700 million to Constellation Software Inc. CSU, +0.52% as part of its pending merger with InterContinental Exchange ICE, +0.40%. The two companies had agreed to divest Optimal Blue as part of their $13.1 billion merger announced in May, 2022, to win regulatory clearance for the deal.

The housing market is near an inflection point as home prices look set to spike, Black Knight said. Five consecutive months of gains have reversed the pullback in home prices that began last July.

Black Knight's Andy Walden and CNBC's Diana Olick join 'The Exchange' to discuss pandemic era migration trends impacting the real estate market, top states for population growth, and how demographics and homebuilding trends are moving home prices.