Since the onset of the pandemic, the pet business has been booming right along with the huge uptick in dog and cat adoptions.
Think about it. More time at home… and for many, that’s more time at home, alone, which speaks to the surge in adoptions. But more time at home also means pouring that much affection all over our pets, in the form of new toys, treats and unnecessary swag they “need.”
A trend that companies like Chewy (CHWY) and Petco (WOOF) have been gladly taking advantage of over the past several months. And the stock gains are there to prove it.
But this pandemic boom has also inspired another burgeoning name in the pet care space. Rover, the online marketplace to buy and sell pet care services including pet sitting, dog boarding, and dog walking, is taking its chance at the public domain with the help of a SPAC.
Despite being valued at a solid $1.35 billion, according to Rover’s SPAC, Nebula Caraval Acquisition Corp., the company is not without risk, given how much it was affected over the course of the pandemic.
It’s pretty simple. If everyone is home, wouldn’t there be less of a need to hire dog walkers?
Well, with more people at home during the COVID-19 pandemic, fewer people were hiring pet walking and sitting services, which forced Rover to furlough 41 percent of its workforce in March, which equated to almost 200 employees.
With that in mind, it certainly seems like the Rover IPO is all about potential, and that’s what Nebula CEO Adam Clammer says:
“We believe that management has built an extraordinary business and we’re excited to support them along their public market journey.”