IAC has agreed to sell Care.com to an affiliate of Pacific Avenue Capital Partners in an all-cash transaction valued at approximately $320 million, marking a strategic move to streamline its portfolio and focus on core holdings.
The deal, announced March 2, 2026, is expected to close in the first half of 2026, subject to customary closing conditions. Upon completion, Care.com will transition from being a wholly owned subsidiary of IAC to operating as an independent, standalone company under private equity ownership.
IAC said the divestiture aligns with its previously stated strategy to sharpen its focus on People Inc. and its stake in MGM Resorts International while monetizing non-core assets to enhance financial flexibility. Care.com, which IAC acquired in 2020, operates one of the largest online marketplaces for finding family care and care jobs, serving a $400 billion market. The platform connects families with background-checked child and senior caregivers and partners with more than 700 employers to provide care solutions as an employee benefit.
Under IAC’s ownership, Care.com refreshed its brand, overhauled its technology, and revamped its product offerings across consumer and enterprise segments. The company also expanded into senior care, pet care, and housekeeping while strengthening its trust and safety infrastructure.
Pacific Avenue Capital Partners, a global private equity firm specializing in middle-market corporate carve-outs, said the acquisition fits its strategy of acquiring market-leading businesses and partnering with management teams to drive operational performance.
Advisors to the transaction include J.P. Morgan Securities LLC as exclusive financial advisor and Latham & Watkins LLP as legal counsel to IAC. Weil, Gotshal & Manges LLP served as legal advisor to Pacific Avenue, and Moelis & Company LLC acted as exclusive financial advisor to the buyer.
KEY QUOTES
“We’ve been clear on our plan to sharpen IAC’s strategic focus on People Inc. and our MGM stake, while opportunistically monetizing non-core holdings to simplify our portfolio and enhance financial flexibility.”
Christopher Halpin, Executive Vice President, COO and CFO of IAC
“Care.com is an industry leader with a brand built on trust, a strong reputation, and a proven leadership team. Care.com has a clear path for growth as an independent, standalone company. This transaction aligns perfectly with Pacific Avenue’s track record of executing corporate carve-outs to acquire market-leading businesses and partnering with leadership teams to elevate performance. We’re excited to work with Brad, Michelle, and the Care.com team to unlock the company’s full potential in serving families, caregivers, and its enterprise partners.”
Chris Sznewajs, Founder and Managing Partner of Pacific Avenue
“Care.com is entering its next chapter from a strong position of profitability and strength, and we’re excited to partner with Pacific Avenue to accelerate this momentum. Their dedicated investment and operating expertise will allow us to move faster — particularly in scaling our enterprise offerings — while continuing to invest deeply in our platform and deliver even greater value to families and caregivers.”
Brad Wilson, CEO of Care.com
