Colgate-Palmolive acquires Quadrant’s $500m pet food business
Colgate-Palmolive is acquiring Australian premium pet food company Prime100 from Quadrant Private Equity. The deal values the business at nearly $500 million.
Transaction snapshot
Deal value: Nearly $500 million
Deal multiples: Approximately 5x revenue; 20x EBITDA
Deal type: Acquisition
Investors: Colgate-Palmolive (buyer), Quadrant Private Equity (seller)
Prime100 produces fresh pet food for dogs with dietary sensitivities. The company manufactures its products in Melbourne and distributes them through major retailers such as PetO, Petbarn and Pet Circle.
Quadrant Private Equity acquired a 55 per cent stake in Prime100 in 2021. Since then, the company has tripled its manufacturing capacity and expanded internationally. It now generates approximately $100 million in annual revenue and $25 million in EBITDA.
Quadrant investment director Peter Elkhouri, who led the Prime100 investment, credited the company’s success to strategic growth initiatives and a strong partnership with the founders. Quadrant managing partner Marcus Darville highlighted Colgate-Palmolive’s interest as a testament to Prime100’s position in the market.
Quadrant has a history of successful investments in the pet sector, including the $1 billion sale of VIP Petfoods (now The Real Pet Food Company) in 2017. The firm also sold pet retailer City Farmers to Greencross in 2014.
The pet industry has seen strong investment activity in recent years. Woolworths acquired half of the Petstock chain for $586 million, Bunnings expanded into pet care, and Staughton Group was acquired by Denmark’s BHJ. Coles also launched its online pet store, Swaggle.
