Teamshares announced plans to become a publicly listed company through a merger with Live Oak Acquisition Corp V in a transaction that is expected to accelerate the company’s scale as one of the largest tech-enabled acquirers of small and medium-sized enterprises in the United States.
The combined company is expected to trade on Nasdaq under the ticker TMS following the closing, which is anticipated to occur in the second quarter of 2026.
The transaction includes a committed $126 million PIPE financing led by accounts advised by T. Rowe Price Investment Management alongside participation from other institutional investors and Teamshares management. When combined with Live Oak V’s cash in trust and assuming no redemptions, the business combination could deliver up to $333 million of primary proceeds.
Teamshares’ existing venture investors, including Khosla Ventures and USV, will roll all of their equity into the public company, reinforcing long-term alignment as Teamshares aims to broaden its platform and enhance its financial capacity as a public enterprise.
Founded in 2019, Teamshares has positioned itself as a tech-enabled acquiror for successful SMEs whose founders are approaching retirement. The company targets businesses generating between $0.5 million and $5 million of EBITDA, acquires them programmatically, integrates them into its centralized software and financial technology platform, and enables employees to earn stock over time. The model is designed to provide a permanent home for companies with strong fundamentals, while allowing retiring owners to transition out smoothly and preserving local jobs and continuity.
Teamshares operates subsidiaries generating more than $400 million in consolidated revenue across over 40 industries and 30 U.S. states. Its average acquired company has operated for more than 35 years, reflecting durability across economic cycles. The company analyzes thousands of opportunities annually through its proprietary screening and underwriting system, leveraging AI to support sourcing, acquisition workflows, standardized financial visibility, and long-term performance management.
With an estimated three million U.S. SME owners approaching retirement, Teamshares believes the market presents a vast opportunity to scale its acquisition engine. The company notes that many retiring owners face a high likelihood of failed sale attempts, which further positions Teamshares as a scalable solution to support ownership transitions at a national scale.
Teamshares’ acquisition-driven model is structured to reinvest the free cash flow generated by its operating subsidiaries into new acquisitions, forming a compounding growth cycle that the company expects to accelerate as it gains access to public company capital.
The transaction values the combined company at a pro forma enterprise value of $746 million. Net proceeds from the merger are intended entirely for primary purposes, including the acquisition of additional operating subsidiaries and platform development. The executive team has agreed to a lockup of up to four years, subject to potential early release based on performance.
Boards of both companies have unanimously approved the transaction. Completion remains subject to regulatory review.
Teamshares continues to receive support from a set of prominent venture backers, including Collaborative Fund, Khosla Ventures, Inspired Capital, QED Investors, Spark Capital, Slow Ventures, and USV. With public company capital access, Teamshares aims to expand its role as a market-defining consolidator in SME acquisitions while continuing to build a long-term permanent home for high-quality businesses across the country.
KEY QUOTES:
“We are proud to partner with Teamshares and look forward to supporting the Company as it accesses the public capital markets. As a tech-enabled acquiror of high-quality SMEs, Teamshares will benefit immediately from a lowered cost and more ready access to capital. The Teamshares business model allows them to reinvest free cash flow from their operating subsidiaries into attractively priced additional acquisitions providing a long-term compounding pathway that we believe will create tremendous shareholder value.”
Richard Hendrix, Chairman and CEO of LOKV and Co-founder of Live Oak Merchant Partners
“With family succession becoming rarer and not enough buyers, retiring owners face a 70% failure rate when trying to sell. Teamshares is a scalable platform that helps owners retire, businesses grow, and employees earn stock. We aim to be the permanent home for thousands of high-quality businesses going through ownership transitions. We are proud to partner with Live Oak and other investors to accelerate our entry in the public markets and scale as a market-defining leader.”
Michael Brown, Co-founder and CEO of Teamshares
