News: Alphabet-backed equity fund paid $46.35m to become the largest shareholder in Care.com.
Google Capital, the late-stage growth venture capital fund financed by Alphabet, has made a $46.35m investment in home care provider Care.com.
The investment makes Google Capital the largest shareholder in Care.com, and Laela Sturdy, a partner at the fund, will join the company’s board.
Under the terms of the deal, Care.com sold newly issued shares of preferred stock to Google Capital at an initial conversion price of $10.50 a share.
Care.com, which was launched in 2007, helps families find child care, senior care, special needs care, tutoring, pet care, and housekeeping.
The company was valued about $275.9m before the transaction, which marks the first investment in a public company by Google Capital.
Google Capital also owns stakes in private tech firms like job-rating website Glassdoor and fantasy sports company FanDuel.
Care.com founder, chairwoman and CEO Sheila Lirio Marcelo said: "We are thrilled to announce this investment and to partner with Google Capital during our next phase of growth.
"We remain focused on delivering on our vision of building a global marketplace for care to help solve the needs of millions of families and caregivers."
Google has been a customer of Care.com’s enterprise services for employees since 2011.
Sturdy said: "Google Capital is excited to support Care.com in building on their market leadership by giving them access to our biggest asset — some of the world’s leading experts in a range of topics at Google and Alphabet – as they continue to deliver delightful and seamless solutions to consumers and enterprises."