Private-equity firm CVC Capital Partners has acquired a majority share in Hungary-based Partner in Pet Food.
Financial details were not disclosed.
The majority stake in the pet-food company has been sold by Cinven Group, another private-equity firm, but the investor will remain a shareholder in Partner in Pet Food.
The pet-food maker had been owned since 2018 by Cinven.
Partner in Pet Food, set up in 1999, 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, CVC said in a statement today (28 June).
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Gerald Kuehr, CEO of Partner in Pet Food, said: “We are delighted that CVC will become our new majority shareholder as we continue our successful premiumisation strategy supplemented by an accelerated M&A path, which we started four years ago.
“In CVC, we welcome a partner that is fully supportive of our passion for people and pets in a healthy environment and this will enhance our ability to continue producing healthy products for our end consumers. My colleagues and I are looking forward to the next chapter of Partner in Pet Food’s successful growth journey with CVC.”
In March, a report from The Financial Times, quoting unnamed sources, suggested investors Advent International and CVC Capital Partners had made a joint bid for Partner in Pet Food after making individual approaches.
One of The Financial Times’ sources said Cinven had previously been looking to value the company at around €2bn.
However, a source for Just Food, who asked not to be identified, said shortly after that Cinven had decided to pause the discussions with bidders, deeming the offers for Partner in Pet Food to be undervalued given the market potential.
István Szőke, CVC managing partner, said today: “We have been tracking this company for over a decade and have been impressed by its transformation into a pan-European champion under Gerald’s leadership.
“While Partner in Pet Food represents our first Hungary-headquartered investment, we have significant experience in the broader region and the sector through existing investments in our global private-equity business.”
The deal is expected to be completed in the CVC’s third quarter of 2024.
