Spectrum Brands Holdings Inc. has acquired Salix Animal Health LLC , the producer of Healthy-Hide and Digest-eeze rawhide dog treats with annual revenues of about US$100 million. The companies did not disclose the financial terms of the transaction.
"Salix will ... diversify our pet segment's position in rawhide dog treats, which is a fast-growing pet sub-category with estimated annual global retail sales of US$2 billion," said Dave Lumley, chief executive officer of Spectrum Brands. The company's global pet business includes IAMS and Eukanuba petfood, Tetra fish food, and Nature's Miracle clean-up products.
Salix's manufacturing plants in Brazil, Ecuador, Mexico and Colombia produce branded and private label rawhide chews made from beef hides, pork, chicken, beef and other proteins. They are sold to mass merchandisers, grocery stores, pet specialty stores and warehouse clubs.
"Salix is an excellent opportunity for us in a number of ways, including the ability to expand our strong Dingo dog treats business with complementary product offerings, enhance our intellectual property and innovation with the Digest-eeze enzyme technology, and provide an improved vertically integrated sourcing model in the Americas," said David Maura, chairman of the board of Spectrum Brands Holdings.
Pet owners want a lot from their pet food brands. They want primary proteins that suit what they believe is best for their animal. They want grains or they don't. They want something customized, but it has to be easy to understand.
Constraints and crises, like those experienced in 2020, help drive innovation and sustainability offers context.