Apax Global Alpha (AGA) has announced Apax X, in which it holds a limited partnership interest, has signed an agreement to acquire a majority ownership stake in Nulo, which it describes an ultra-premium pet food company. The transaction is expected to close in the second quarter of 2021, subject to customary closing conditions. Aga says that, on a look through basis, it expects to invest approximately €10.3m in the company.
Who are Nulo?
Nulo was Established in 2010 and is headquartered in Austin, Texas. AGA describes the company as “one of the fastest growing major pet food brands in the US pet specialty channel”. Nulo has a diversified portfolio of products that includes both dog and cat foods and formats across kibble, wet food, freeze-dried raw, treats, and toppers. AGA says that Nulo’s ultra-premium products are higher in animal-based protein and lower in carbohydrates derived from high quality, functional ingredients. Its products are sold in over five thousand retail locations across North America as well as through e-Commerce channels.
The Nulo opportunity
AGA says that Apax X identified Nulo as a rare proprietary opportunity to invest in a fast growing and well-regarded pet food asset that is well positioned in a large and steadily growing market, led by a strong management team. Apax Funds, in partnership with Nulo’s current management team, are looking to accelerate the Company’s growth rate – while preserving what AGA describes the Company’s unique product and channel strategy. The strategy will be to focus on a number of key value drivers, such as expanding the Company’s digital marketing operations and building out its international footprint.