Senior care has officially sparked Google’s interest.
Google Capital on Wednesday announced it has invested $46.35 million in Waltham, Massachusetts-based Care.com, Inc. (Nasdaq: CRCM), the world’s largest online marketplace for finding and managing family care.
Google Capital, a growth equity fund backed by technology conglomerate Alphabet (Nasdaq: GOOGL), invests in companies that are driving disruption in their markets through long-term technology trends.
Google Capital’s share in the $278 million company makes it the single largest shareholder in Care.com. At present, Care.com connects 11 million families with 8.6 million caregivers in 16 different countries. Care.com deals in senior care, as well as child care, pet care, housekeeping and more.
As part of the deal, Google Capital Partner Laela Sturdy will also join Care.com’s Board of Directors.
“We are thrilled to announce this investment and to partner with Google Capital during our next phase of growth,” Sheila Lirio Marcelo, Care.com’s founder, president and CEO, said in a prepared statement. “Laela will be a great addition to our Board, bringing significant operating and investing experience including nearly a decade at Google/Alphabet. We look forward to bringing that expertise to bear as we innovate our service offerings for our members and corporate clients, while continuing to add value for our shareholders.”
There has been speculation that Google would eventually dip its toes in the senior care industry.
In 2012, the technology giant paid a reported $100 million for Meebo, a company co-founded by Seth Sternberg, who is now the CEO of home care startup Honor. Sternberg was somewhat coy when asked whether Honor might share that fate.
“I didn’t create something with Meebo that is still there changing the world for people, it’s just now integrated into the Google ecosystem,” he told Senior Housing News’ sister site, Home Health Care News. “With Honor, I really hope that we fundamentally make the world a better place for seniors, for their families and for the care professionals, and that Honor continues to evolve and continue to do that when I need help as a customer.”
Written by Mary Kate Nelson