PointClickCare Announces a $186 Million Investment from Dragoneer

A leading Canadian SaaS platform has received a massive investment from a familiar face.

PointClickCare has announced that the Dragoneer Investment Group has invested $186 million in the company. The Toronto-based PointClickCare is a SaaS company that provides a platform for North American senior care facilities.

With this investment, Dragoneer is now the PointClickCare’s largest institutional shareholder, owning over 20 per cent of the company. This means that the company is valued at $1 billion in total at least, and likely more due to an earlier Dragoneer investment in 2017.

“Having watched PointClickCare successfully execute on its strategic plan over the past two years we are excited to support the Company as it continues to capitalize on the opportunities ahead,” said Marc Stad, founder and portfolio manager of Dragoneer.

PointClickCare is a cloud-based software for the long-term care market. They support over 15,000 different communities in the ecosystem, which represents a market share of over 60 per cent. In total, PointClickCare manages over 1.2 million active resident records and has a 98 per cent customer retention rate.

The Toronto platform grew profits 25 per cent year-over-year in 2017 and boasted more than $200 million in revenue.

Christian Jensen, the co-head of private investments at Dragoneer, will join PointClickCare’s board.

“We are pleased with Dragoneer’s decision to increase its support for PointClickCare,” said Mike Wessinger, CEO of PointClickCare. “We look forward to continuing to build on our partnership with Dragoneer and are delighted to officially welcome Christian to our Board.”

Dragoneer is a U.S. investment firm with more than $4 billion in long-duration capital from different partners, including endowments, foundations and more. They have invested in massive companies like Airbnb, Flipkart and Uber.

This latest investment builds on Dragoneer’s prior investment in PointClickCare. In February 2017, they led a $111 million round of financing.

PointClickCare is one Canadian company that many thought would have issued an IPO by now, but Wessinger noted that there is no chance for a public listing in 2018—though maybe a “50-50” chance for one in 2019.