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Pet Tech Industry Transactions

 

Transactions seem to be getting more frequent in the pet tech space.  Trends include: more m&a activity from private equity and lots of action in the animal health sector.  Below are investments and transactions from the last two years, with a few older notable deals thrown in.  Let us know if we missed anything by contacting us here.

Key takeaways:

  1. Mars Petcare and PetSmart are the spending the most money on acquisitions.
  2. Petco acquires small, likely inexpensive companies.
  3. Wagz’s acquisitions have given the company products in multiple categories – they now offer 2 smart collars, a smart feeder, a smart door and a pet camera.  Perhaps a tech toy will be next.
  4. The pet health and pet food categories receive the most investment capital.

 

Investor/Buyer Amount Action Recipient/Seller Category Date Notes
DFE Capital Management $9 million investment PetPlate Food February 2020 Pet Plate is monthly subscription for fresh pet food
Dundee Venture Capital, Mercury Fund $2 million investment Televet Health January 2020 TeleVet makes a telehealth platform for vets
Pondera Holdings $31 million investment AutoPets Misc Gadgets December 2019 AutoPets is the manufacturer of Litter-Robot
Lever VC $1.2 million investment Bond Pet Foods Food December 2019 Boulder-based Bond Pet foods creates high-protein pet food made without killing animals. Lever VC is a venture capital fund that invests in companies focusing on alternative protein sources
Harlem Capital $3 million investment Wagmo Health December 2019 Wagmo offers pet wellness plans
Founders Fund $13.5 million investment Modern Animal Health October 2019 Modern Animal is trying to disrupt the veterinary care market with a monthly subscription model
Companion Fund $65 million investment Scratchpay Health October 2019 Scratchpay is a provider of payment plans for veterinary care
Fuzzy Pet Health undisclosed acquisition Fetch My Pet Apps June 2019 Fuzzy is a pet telehealth company that purchased a pet life management app
Global Founders Capital & Mars Petcare $8.5 million investment Mixlab Health June 2019 Mixlab is a pet pharmacy
Lerer Hippeau Ventures $3.5 million investment Small Door Vet Health April 2019 Small Door is trying to disrupt the veterinary care market with a monthly subscription model
White Star Capital €15 million investment ButterNut Box Food April 2019 ButterNut Box is a monthly dog food subscription company based in London
BoxGroup and others $6.7 million investment Good Dog Services April 2019 Good Dog is a vetted marketplace for breeders, shelters and dog rescues
Rover $7 million investment DogHero Services March 2019 DogHero is the leading pet sitting & dog walking company in Latin America
Smart Tracking Technologies undisclosed acquisition Link AKC Trackers March 2019 Second time Link AKC was sold in last 6 months
Lerer Hippeau Ventures $7 million investment Fi Trackers March 2019 Fi makes a smart tracker
Andreessen Horowitz $5 million investment One Health Health January 2019 One Health uses genetic testing to help fight canine cancer
Insight Venture Partners $39 million investment The Farmer’s Dog Food January 2019 Series B round, total of $49 million in funding
PeakSpan Capital $12 million investment PetDesk Apps January 2019 PetDesk will use the funds to expand their services into the pet grooming industry
Rover not disclosed acquisition DogBuddy Services November 2018 Rover expands it’s European dog-stting presence with the purchase of London-based Dogbuddy
Various investors $1.6 million investment BabelBark Apps November 2018 BabelBark has received a total of $4.5 million in financing to expand it’s pet health & services app
Wagz not disclosed acquisition Link AKC  Trackers September 2018 Link AKC makes smart collars
Wagz not disclosed acquisition Petzila Cameras June 2018 Petzila makes pet cameras
MedScience Ventures $1.8 million investment Wagz Trackers May 2018
Menlo Partners $155 million investment Rover.com Services May 2018 Marketplace for dog sitters
Dane Creek Capital $4 million investment PetPlate Food & Subscription May 2018
Mars Petcare not disclosed acquisition Optigen Pet Health March 2018 Optigen performs genetic testing for dogs
HCS Capital $4 million investment FIGO pet insurance Pet Health March 2018
Softbank $300 million investment Wag Services January 2018 Wag is a dog walking service
Petco not disclosed acquisition PetinsuranceQuotes.com Pet Health January 2018
Mars Petcare not disclosed acquisition Genoscoper Labrotories Pet Health January 2018 Finland-based Geneoscoper operates the genetic testing website MyDogDNA.com
Eniac Ventures $4.5 million investment Fuzzy Pet Health Pet Health December 2017 Subscription-based pet wellness
Petco undisclosed acquisition PupBox Food & Subscription November 2017 Monthly Subscription box
Petcube not disclosed acquisition Petbot Pet Cameras June 2017
Phillips Pet Food & Supplies not disclosed acquisition PetFlow.com eCommerce May 2017
Petco not disclosed acquisition PetCoach Apps April 2017
PetSmart $3.4 billion acquisition Chewy.com eCommerce April 2017
EquiMedia not disclosed acquisition PetinsuranceReview.com Pet Health March 2017
Rover $47 million acquisition DogVacay Services March 2017
Chuck & Don’s not disclosed acquisition Fetch eCommerce March 2017
Mars Petcare $9.1 billion acquisition VCA vet clinincs Pet Health January 2017
Petco $10 million investment PetNet Feeders August 2016
IHC Group undisclosed acquisition PetPlace.com eCommerce October 2016 IHC purchased the pet-health focused website, Petpace.com from Embrace Pet Insurance
August Capital $60 million investment BarkBox Food & Subscription May 2016
PetSmart undisclosed acquisition DCL Ventures eCommerce April 2016 DCL Ventures operated AllPaws.com, an online pet adoption platform
Mars Petcare $117 million acquisition Whistle Labs Trackers April 2016
PetSmart $130 million acquisition Pet360 eCommerce September 2014

Funding Overview

 

Below is a quick guide to the different types of capital raising that are typically used by startup companies.

 

  • 1. Pre Seed – the earliest stage of funding, this capital is usually provided by the founders themselves, as well as friends and family.  The goal is to raise enough money that will enable the company to create a minimum viable product or otherwise validate their business idea.  The amount raised is usually $50,000 to $250,000.
  • 2. Seed – seed founding is for companies that have already validated their value proposition. Typically, the company will have consistent monthly revenue and sales are increasing every month.  Most series A investors are early stage venture capital funds or angel investors.  The amount raised is typically in the range of $500,000 – $2M in exchange for 10% – 20% equity in the company.
  • 3. Series Aonly 10% of the companies that raise a seed round are successful enough to make it the next step, a Series A round of funding. Typically, Series A rounds raise approximately $2 – $15 million. Investors come from more institutional venture capital firms and often work in groups, with one firm acting as the lead investor, with the others as capital contributing partners.