Pets Corner buys competitor PamPurredPets for £6 million
Pets Corner have bought the entire shareholding of competitor business PamPurredPets for £6 million as they seek to continue to expand their number of stores across the country.
Over the past year Pets Corner have consolidated their market leading position by successfully opening 14 new stores in 2015, with more planned for 2016.
The acquisition of the shares of PamPurredPets will add another 51 stores to their holding company’s existing UK portfolio of 110 shops and create the second biggest pet chain in the UK by store numbers and EBITDA (earnings before interest, taxes, depreciation and amortisation).
Pets Corner will continue running PamPurredPets as a separate entity but plan to rebrand the stores, which are located across southern England and Wales, over the next few years and add Pet Practice veterinary concessions to seven of the locations. PamPurredPets’ staff will be introduced to the renowned Pets Corner classroom based training programme.
Cavendish Corporate Finance advised Pets Corner on the debt facility used to complete the deal.
Commenting on the deal Managing Director at Pets Corner Dean Richmond said: “PamPurredPets’ stores are ideally positioned to complement and enhance our existing portfolio and reach our core customer base.
“The addition of PamPurredPets enables us to bring the Pets Corner Difference to new customers whom we hope will enjoy the benefits of our exceptional expert advice and high quality products in a place that is convenient for them.”
Nick Jones, Partner at Cavendish Corporate Finance, commented: “This was an exciting acquisition opportunity and we are delighted to have advised Dechado Group on finding the appropriate debt funding to facilitate this strategic acquisition.
"It consolidates Pets Corner’s market leading position and significantly boosts its UK store network.
"Overall conditions for SMEs seeking debt have improved, though the debt financing area remains opaque and fragmented, which can hinder businesses from finding a suitable solution and we have seen a strong rise in interest from growth companies keen to access our advice to help them navigate the complex debt finance market.”
Top image shows: Dean Richmond (Pets Corner), Steven Charman (Pets Corner), Debbie Fowler (PamPurredPets) and Steve Fowler (PamPurredPets).