Czech Republic's Vafo Group has unveiled plans to expand its international footprint and acquire Poland-based pet food distributor Azan.
Based in Radom, in eastern Poland, Azan already distributes Vafo Group's products in the Polish market. To carry out the acquisition, the Czech company has filed an application with Poland's competition watchdog UOKiK.
"The notified merger will involve Vafo Group a.s. ('VAFO') acquiring control of AZAN sp. z o.o. sp. k. ('AZAN') and AZAN sp. z o.o. ('AZAN sp. z o.o.')," the competition watchdog said in a statement.
"Vafo Group is a European manufacturer of high-quality pet food and accessories. Founded in 1994, this family-owned company … is headquartered in the Czech Republic, with factories and branches in several European countries," according to UOKiK. "Azan is a Polish distributor of pet food and accessories. It has been operating in the Polish pet market for several decades, primarily supplying wholesalers. Azan sp. z o.o. serves as the general partner of Azan and does not conduct any separate business."
The value of the potential deal was not disclosed in the filing. Under Polish law, UOKiK's approval is a prerequisite to finalizing all takeovers and mergers of companies based in Poland if the concerned entities posted combined revenues of at least €1 billion (US$1.17 billion) worldwide, or €50 million (US$58.5 million) in the domestic market in the year preceding the takeover.
Vafo Group operates nine production facilities in Europe and has subsidiaries in the Czech Republic, Austria, Finland, Germany, Sweden, Poland, the UK, as well as Estonia, according to data from the pet food business.
"As a family-run company, Vafo has been producing high-quality pet foods for 30 years and is currently present in over 90 countries worldwide," Vafo Group said.
Fressnapf expands foothold in Europe
European pet retailer Fressnapf | Maxi Zoo has announced that in the first quarter of fiscal year 2025, the business managed to open a number of new stores in various European countries.
"During the first quarter, the group continued to execute its transformation strategy with a focus on cost discipline, customer centricity, and purposeful expansion. Improved cost management and more effective marketing helped protect margins, even as market conditions remained difficult," the retailer said in a statement. "The group's international expansion also advanced steadily: 41 new stores were opened in Q1 – primarily in France, Italy and Poland – further strengthening its European footprint."
With operations in 15 countries, as much as 65% of the group's total revenue is now generated outside its domestic market, Germany, reflecting growing international momentum, according to the company.
In the first quarter of this fiscal year, the group reported revenue of around €870 million and €72 million in adjusted earnings before interest, taxes, depreciation and amortization (EBITDA).
"These results underscore Fressnapf | Maxi Zoo's ability to operate with resilience, efficiency, and strategic focus in a challenging environment," the retailer said. "Through consistent strategy execution, scalable investments, and a clear focus on customer proximity and operational excellence, Fressnapf | Maxi Zoo is well positioned to unlock further growth potential and consolidate its position as Europe's leading pet retailer."
Meanwhile, Fressnapf | Maxi Zoo says it is committed to the disciplined execution of its multi-year transformation strategy.
"The Group is well positioned to drive sustainable, long-term growth while maintaining financial discipline. Key strategic priorities over the course of the remaining year include the opening of a triple-digit number of new stores, further integration of omnichannel services, and targeted investments in logistics infrastructure and supply chain optimization," according to the statement.
"At the same time, the Group is making tangible progress in implementing a more agile operating model aimed at boosting efficiency and responsiveness across markets," Fressnapf | Maxi Zoo said.
