Pets at Home has bought veterinary business Vets4Pets as it aims to extend its vets service to more than 500 in-store and standalone practices. Pets at Home chief executive Nick Wood said there was “a lot of growth potential” in the small animal veterinary market, which comprises 2,500 practices across the UK.
The acquisition came on the back of Pets’ purchase of equestrian multichannel business Ride-Away in December.
Vets4Pets operates 93 standalone practices and Pets at Home, which acquired the business for between £30m and £50m, plans to increase that number. The retailer already operates 116 – strong veterinary practice Companion Care – the vast majority of its surgeries are in Pets at Home stores – and Wood said it will work to integrate the two to create a strong player in the market.
For the year to March 31, the businesses had combined sales of £100m, of which Companion Care accounted for about 56%. Wood said: “We think we can grow to more than 500 Pets at Home stores and that there will be more vets than stores.
“Vets4Pets” is complementary to Companion Care and is an excellent strategic fit for Pets at Home. ”Wood said the businesses share the same business model – both operate their practices on a joint venture basis with individual vets.
Source: Retail Week April 12, 2013