Employer.com Eyes Acquisition of Fintech Startup Level Amid Recent Shutdown
In the ever-evolving world of fintech, changes happen at lightning speed. Just last week, Level, a promising startup known for its innovative dental and vision benefits products, unexpectedly shut down after struggling to find a buyer. Now, there’s a glimmer of hope as Employer.com has stepped in with an acquisition offer, according to The Information.
The details are still under wraps as Level considers the proposal. “It’s with legal,” Matt Charney, CMO of Employer.com, revealed to TechCrunch. The startup, founded in 2018 by Paul Aaron—an early Square employee—had secured $30.8 million in funding from notable investors like Lightspeed Venture Partners and Khosla Ventures. Back in April 2021, they proudly announced a $27 million Series A funding round.
- Level’s shutdown left companies scrambling for new benefits providers
- Employer.com’s interest marks their second acquisition offer within a week
- Details surrounding Level’s closure remain unclear
“It’s a complex situation that underscores the volatility in fintech,” remarked an industry insider.
{TechCrunch}
Interestingly, this isn’t Employer.com’s first rodeo with acquiring startups on the brink. Not long ago, they moved to acquire Bench, an accounting startup that left its users stranded after a sudden shutdown. Bench’s challenges reportedly stemmed from its aggressive pivot towards AI and automation.
As we watch these developments unfold, it’s clear that the fintech landscape is both promising and perilous. For those eager to stay informed on the latest fintech news, TechCrunch offers a newsletter packed with insights. And if you have any tips or stories to share, their team is all ears.
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