Mars buys pet hospital operator VCA for US$9.1 billion
Mars will acquire nearly 800 pet hospitals in the US and Canada.
Mars, Inc. will buy VCA, a pet hospital operator, for US$9.1 billion including US$1.4 billion of outstanding debt. With the deal, announced January 9, Mars will acquire nearly 800 pet hospitals in the US and Canada.
VCA joins Mars Petcare’s portfolio of veterinary services businesses includes Banfield Pet Hospital, Bluepearl and Pet Partners. Together with VCA, these businesses provide veterinary care for pets, from wellness and prevention to primary, emergency and specialty care.
"VCA is a leader across pet health care and the opportunity we see together—for pets, pet owners, veterinarians and other pet care providers —is tremendous,” said Mars CEO Grant F. Reid, in a press release. “We have great respect for VCA, with whom we share many common values and a strong commitment to pet care.”
Mars will offer US$93 per share of VCA stock, which is 31.4 percent more than VCA’s closing price on Friday, January 6. The agreement has been unanimously approved by the boards of directors of both companies.
VCA separate within Mars Petcare
Since its founding in 1986, VCA has grown from one facility in Los Angeles to nearly 800 animal hospitals with 60 diagnostic laboratories throughout US and Canada. Through organic growth and a series of acquisitions, VCA now has operations across four divisions including veterinary services, laboratory diagnostics, imaging equipment and medical technology, and pet care services.
Upon completion of the transaction, VCA will operate as a distinct and separate business unit within Mars Petcare, and will continue to be led by Bob Antin, CEO, president, chairman and a founder of VCA. The company will remain headquartered in Los Angeles, California, USA.