Rover Group announced it has entered into a definitive agreement to be acquired by private equity funds managed by Blackstone in an all-cash deal valued at roughly $2.3 billion, sending its shares more than 28% higher on Wednesday.
The world’s largest online marketplace for pet care said the $11 per share deal represents a 61% premium to the volume-weighted average price of its Class A shares over the 90 trading days to November 28, 2023.
“This transaction delivers immediate and compelling value to Rover stockholders, and is a testament to the commitment and hard work of our team and an exciting milestone for Rover,” co-founder and CEO Aaron Easterly commented in a statement.
Rover noted that from its inception through September 30, 2023, over 93 million services have been booked by more than 4 million pet parents on the platform with more than 1 million pet care providers paid across North America and Europe.
“Our investment highlights Blackstone’s high-conviction focus on backing rapidly growing digital businesses and supporting talented entrepreneurs with extensive resources to take advantage of transformational growth opportunities,” Blackstone senior managing director Sachin Bavishi added.
Rover’s shares were up 28.6% at $10.93 shortly after midday in New York.
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