Google Capital Splurges Over $50 Million On Auction.com
One of the world’s larges online real estate marketplace known a Auction.com has recently announced a $50 million investment Google Capital. An agreement came along with this investment with allowing one Representative from Google Capital to join the company’s Board of Directors and another shall be taking a board observer position.
“Google is the world’s greatest Internet company, and we’re thrilled to have the opportunity to work closely with them. This will give us an opportunity to tap into their deep expertise in digital marketing and mobile, as well as in building world-class products,” said Jeff Frieden, CEO and Co-Founder of Auction.com. “Over $7 billion of commercial and residential real estate traded through our online marketplace in 2013, and we believe that having Google Capital’s support will help us expand our industry leadership, and carve out a bigger share of the global real estate market.”
Google Capital will be joining other shareholders in Auction.com those including, Starwood Property Trust, Stone Point Capital, Starwood Capital Group, and Fortress Investment Group who shall be managing the funds. Auction.com regularly handles over tens of thousands of transactions across commercial and residential real estate, from customers varying from the biggest of financial institutions, to even individuals and brokers.
“Auction.com has quietly built one of the largest marketplaces on the web,” said David Lawee, Partner at Google Capital. “We think Auction.com can fundamentally change how real estate, and particularly commercial real estate, can be bought and sold, leveling the playing field for smaller investors.”
Google Capital was created back in 2013 and has invested in places like Lending Club, Renaissance Learning, and Survey Monkey. JP Morgan Securities LLC has served a the sole private placement agents for Auction.com in conjunction with this transaction.