LOS ANGELES — Platinum Equity on Oct. 25 acquired Cosmic Pet, a developer and distributor of pet treats and accessories, and has combined the company with Petmate, which the private equity acquired in September. Financial terms of the Cosmic Pet transaction were not disclosed.
Cosmic Pet brands include Wild Eats, Hyper Pet, Pet Fusion, Our Pets, Pet Zone and Pet Craft Supply Co. The company is based in Wichita, Kan. and uses an international, in-house sourcing operation for its branded and private-label products.
Petmate was founded in 1959 as Doskocil Manufacturing, with its first product being a dog kennel. Since it was founded, the company has grown to produce a range of pet products, including treats and chews, accessories, toys and other dog products, which are sold through big box pet retailers, mass merchandisers, farm and agriculture retailers, pet specialty stores and e-commerce retailers.
“The US pet industry continues to demonstrate steady growth fueled by increased consumer demand for products that improve the quality of life for pets,” said Adam Cooper, managing director at Platinum Equity. “As the market grows, large national retailers are increasingly looking for partners with diverse and comprehensive product portfolios. This combination will create a differentiated platform of scale with powerful brand equity, a unique and innovative product mix, diversified end channels, and expertise in both branded and private label offerings.”
The company’s Wichita operations will continue to serve both Cosmic Pet and Petmate. Platinum Equity stated it will leverage its M&A resources to expand its new pet platform.
“The addition of Cosmic Pet is an important first step, but the market remains highly fragmented with numerous additional opportunities to accelerate growth through acquisition,” Cooper said.
Alice Tillett, chief executive officer of Petmate, will lead the now combined company.
“Petmate and Cosmic Pet are an ideal fit, with complementary strengths and a shared commitment to serving the needs of passionate pet owners throughout the country,” Tillett said. “This is an exciting opportunity to bring together two best-in-class companies facilitating a transformational step in the growth and evolution of our business.”
Read more about corporate strategy, financial performance, mergers and acquisitions on our Business page.