Woolworths Holdings Limited (WHL) has announced its intention to acquire 93.45% of the shares in Absolute Pets (Pty) Ltd from Sanlam Private Equity and Absolute Pets management.
The rest of the management-retained shareholding will be acquired by Woolworths over an agreed period, after the transaction has been completed.
Pet retailer Absolute Pets, which was established in 2005, has a national presence of over 150 stores across the country, including online pet spas and pet services.
According to Woolworths, pet care is an attractive and rapidly-developing market that is becoming an important category for the company’s customers, who consider their pets an integral part of their families.
Woolworths said that the acquisition of Absolute Pets will accelerate their pet strategy and position the company to become the end-to-end pet care destination of choice in South Africa.
Woolworths Holdings Limited Group CEO Roy Bagattini said: “Absolute Pets and Woolies are a natural fit. Both have a strong commitment to excellence and quality.”
“The Absolute Pets brand has earned the trust of pet owners across South Africa, and I am truly excited by the opportunities our partnership brings to leverage our joint strengths and expertise to provide even more customers with the best overall pet service and experience in the market.”
Stephen Warner, CEO of Absolute Pets, and the current management team will continue to operate and lead the business under the Absolute Pets brand.
“We are delighted to be joining forces with a brand like Woolworths, whose vision and values are so closely aligned with our own. We look forward to embarking on this journey of growth and collaboration together as we continue to enrich the lives of pets and their loving owners,” Warner said.
The purchase consideration will be settled in cash, and the conclusion of the transaction is subject to the fulfilment of both regulatory and commercial suspensive conditions customary to a transaction of this nature, including competition authority approval in South Africa.
IOL Business