UK-based Inspired Pet Nutrition (IPN) is reportedly engaged in talks to buy local peer Butcher’s Pet Care.
Sky News, without quoting its source, said it understands IPN, owned by private-equity firm CapVest, wants to add independently-owned Butcher’s to its stable of brands that includes Harringtons and Wagg.
IPN, based in Yorkshire in northern England, is not the only bidder for Butcher’s, according to Sky, which said bankers at Houlihan Lokey are handling an auction process.
Butcher’s, based in Northamptonshire in England’s East Midlands, owns the eponymous dog food brand and the cat-food brands Classic Cat and Blink.
Founded by Graham Baker, the son of a livestock farmer, in 1987, it reported a turnover of £138.4m ($180.2m) in the year to 31 July 2023, up from £108.4m a year earlier. EBITDA was up from £1m to £9.7m over the same period.
In January, IPN announced it had hit nearly £200m in annual turnover, having doubled sales in the last five years.
A month later, in an interview with Just Food, chief commercial officer Fiona Fox, said M&A is part of the company’s growth strategy.
“Further acquisitions are definitely part of it,” she said.
Just Food asked all parties mentioned in the Sky News story for their comments.
IPN said it is not making any comment at the moment while a spokesperson for Houlihan Lokey said: “At this stage it is a no comment.”
A CapVest spokesperson said: “It is not commenting on the speculation.”
Last month, private-equity firm CVC Capital Partners acquired a majority share in Hungary-based Partner in Pet Food.
Set up in 1999, Partner in Pet Food sells into more than 35 countries in Europe, according to CVC. The company supplies wet and dry pet food for cats and dogs to over 280 customers, including retailers, specialist pet chains and online customers.
The Budapest-based business manufactured circa 700,000 tonnes of pet food and had revenues of approximately €800m ($857m) in 2023.
Earlier this week, UK-based Pets Choice said it had snapped up vegan dog-food brand Hownd from domestic peer Power Pet Brands.
Established in 2015, Hownd produces a range of plant-based wet and dry dog food, wellness treats and cruelty-free certified pet-care products. It will join brands such as Webbox, Bob Martin, Felight and TastyBone.
