Blackstone Group Inc said it agreed to procure Ancestry.com Inc from private equity firms Silver Lake, Spectrum Equity and Permira. Singapore’s sovereign wealth fund GIC, another Ancestry.com investor.
This acquisition’s price tag represents a whopping $4.7 billion signifying a massive jump in valuation for over four years.
Ancestry.com is the world’s largest provider of DNA services, allowing customers to trace their genealogy and identify genetic health risks with tests sent to their homes.
Blackstone is hoping that more consumers staying at home amid the COVID-19 pandemic will turn to Ancestry.com for its services.
“We believe Ancestry has significant runway for further growth as people of all ages and backgrounds become increasingly interested in learning more about their family histories and themselves,” David Kestnbaum, a Blackstone senior managing director, said in a statement.
Ancestry.com has more than 3 million paying customers in about 30 countries, and earns more than $1 billion in annual revenue. Launched in 1996 as a family history website, it harnessed advances in DNA testing and mobile phone apps in the following two decades to expand its offerings.