PE-backed dog food maker buys competitor to boost international sales

Private equity fund Resource Partners, the owner of Poland’s leading dog treat producer Maced, has acquired a 100% stake in Atlantic Products, the country’s second largest dog treat maker. The fund says it is determined to expand both companies’ output capacities amid a rising demand for their products.

Maced posted record revenues last year, at about PLN 95 million (US$25.1 million), an increase of 10% year on year, encouraging the company’s owner to invest in raising its production capacities, according to the information obtained by local daily newspaper Puls Biznesu.

Maced also managed to improve other financial indicators last year, with its earnings before interest, taxes, depreciation and amortization (EBITDA) exceeding PLN 8 million (US$2.1 million).

The Polish fund is also planning to invest in its second dog treat business, Atlantic Products. “This year, we will expand Atlantic’s factory and increase its capacities by less than 50%. In 2021, we expect to maintain a revenue growth rate of about 10% for both companies,” Bobrowska-Jarząbek said.

Maced’s export sales generate more than 50% of the dog treat producer’s revenues, while Atlantic Products depends on foreign sales for 100% of its revenues. In its domestic market, Maced supplies its products to more than 3,000 pet stores, according to data from the company.

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