PAI Partners to acquire Alphia

PAI Partners

PAI Partners (“PAI”), a pre-eminent private equity firm, today announces that it has agreed to acquire Alphia, Inc. (“Alphia”), one of the largest pet food co-manufacturers in North America, from J.H. Whitney Capital Partners (“J.H. Whitney”). Terms of the transaction were not disclosed.

Headquartered in Denver, Alphia is a leading national manufacturer of pet food in the U.S., manufacturing more than one billion pounds of dry pet food and treats annually on behalf of leading pet food brands and retailers. Alphia also provides milling, R&D, innovation, warehousing, transportation, and distribution services. The company has six manufacturing facilities across the U.S. and is the parent company of LANI, an ingredient milling solutions company, and Veracity, a warehousing and logistics provider. Combined, Alphia offers its partners complete farm-to-bowl custom solutions.

J.H. Whitney acquired Alphia’s predecessor, C.J. Foods, Inc., in 2014. Alphia was formed through the merger of American Nutrition, Inc. and C.J. Foods, Inc. in 2020 to create a national pet food manufacturing platform, delivering best-in-class food safety and unparalleled value for its customers.

This transaction underlines PAI’s expertise in the Food & Consumer sector and its particular experience in pet food and contract manufacturing, with representative investments in Royal Canin, Provimi, Diana Pet Food and Refresco. With the support of PAI, Alphia will seek to accelerate further North American growth, both organically and through acquisitions.

David McLain, CEO & President of Alphia, said: “We appreciate the many years of support and partnership with J.H. Whitney, during which time we created Alphia, one of the leading pet food co-manufacturing platforms in the world.  PAI is committed to our ongoing vision for growth and shares the common values of innovation, food safety and industry leadership.”

Bob Williams, a Senior Managing Director at J.H. Whitney, said: “We have had a great partnership with the Alphia management team.  Through deep investment in people, systems and facilities, with a constant focus on customers, Alphia has developed into a leading and pre-eminent co-manufacturer in the pet food industry. We are proud of the team and look forward to seeing Alphia continue its successful growth with PAI.”

Maud Brown, a Partner at PAI and Head of PAI’s US Team, said: “We are excited to announce our investment in Alphia, which represents our second platform in the U.S.  We are committed to building the PAI franchise in the U.S. and look forward to our continued growth and success in this market.”

Winston Song, a Partner at PAI and Consumer Lead in the U.S., said: “Alphia is a best-in-class company and plays an invaluable role in the value chain of pet food and treats, an exciting consumer category with strong secular tailwinds.  Pet parents continue to seek out innovation, quality and value – Alphia has set the industry standard as the trusted partner to many leading brands and retailers.  We look forward to partnering with David McLain and his mission-driven team as we continue to invest behind Alphia to grow and scale the platform.”

Completion is subject to customary closing conditions, including the receipt of certain regulatory approvals.

Goldman Sachs & Co. LLC acted as financial adviser to Alphia.  Gibson, Dunn & Crutcher LLP served as legal counsel to J.H. Whitney and Alphia, and Weil, Gotshal & Manges LLP served as legal counsel to PAI.

Media contacts

PAI Partners
Dania Saidam
+44 20 7297 4678

ICR (for PAI Partners)
Chris Gillick
+1 646 277 1298

About Alphia

Alphia® is a leading custom manufacturer of super-premium pet food in the U.S., manufacturing more than one billion pounds of dry pet food and treats annually. Customers choose Alphia as their trusted partner for offering unparalleled marketplace intelligence, providing research and development expertise, and delivering the safest, highest quality products on shelf. Alphia’s decades of leadership remain focused on safety, quality and consistently delivering growth for its customers, its employees, and their communities. Alphia has six (6) manufacturing facilities nationwide and is also the parent company of LANI, a world-class ingredient milling solutions provider, and Veracity, a logistics company providing warehousing, transportation, and distribution services. Combined, Alphia offers its partners complete farm-to-bowl custom solutions. For more information, visit www.alphia.com.

About PAI Partners

PAI Partners is a pre-eminent private equity firm investing in market-leading companies across the globe. It manages c. €25 billion of dedicated buyout funds and, since 1994, has completed 100 investments in 12 countries, representing over €70 billion in transaction value.  PAI has built an outstanding track record through partnering with ambitious management teams where its unique perspective, unrivalled sector experience, and long-term vision enable companies to pursue their full potential – and push beyond. Learn more about the PAI story, the team and their approach at: www.paipartners.com.

About J.H. Whitney

J.H. Whitney (JHW), established in 1946 by the industrialist and philanthropist, John Hay “Jock” Whitney, was one of the first U.S. private equity firms and is often credited with pioneering the development of the private equity industry. Today, JHW remains privately owned by its investing professionals and our main activity is to provide private equity capital to small and middle-market companies with strong growth prospects in a number of industries including consumer, healthcare and specialty manufacturing. Our investors include leading foundations, universities, pension funds and other institutions.

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EURAZEO COMPLETES ITS INVESTMENT IN ULTRA PREMIUM DIRECT

Eurazeo

Eurazeo has completed its majority investment in Ultra Premium Direct, alongside co-founders Sophie and Matthieu Wincker and Eutopia, existing minority shareholder via Otium Consumer, which would reinvest in the transaction via its new fund.

As a leading player in the French premium pet food market, Ultra Premium Direct aims at democratizing premium pet food, distributing its products directly through its own website and subscription service, at an attractive price point. Focused on improving pet health and well-being Ultra Premium Direct develops high protein products in collaboration with veterinarian nutritionists in its owned industrial and R&D plant in Agen, South of France.

Eurazeo will invest 68 million euros to hold a majority stake in the company. It will represent Eurazeo’s Brands team second investment in Europe after the acquisition of Swedish brand Axel Arigato in November 2020.

ABOUT EURAZEO
Eurazeo is a leading global investment group, with a diversified portfolio of €21.8 billion in Assets Under Management, including €15.0 billion from third parties, invested in 450 companies. With its considerable private equity, private debt and real assets expertise, Eurazeo accompanies companies of all sizes, supporting their development through the commitment of its nearly 300 professionals and by offering deep sector expertise, a gateway to global markets, and a responsible and stable foothold for transformational growth. Its solid institutional and family shareholder base, robust financial structure free of structural debt, and flexible investment horizon enable Eurazeo to support its companies over the long term.
Eurazeo has offices in Paris, New York, Sao Paulo, Seoul, Shanghai, Singapore, London, Luxembourg, Frankfurt, Berlin and Madrid.
Eurazeo is listed on Euronext Paris.
ISIN: FR0000121121 – Bloomberg: RF FP – Reuters: EURA.PA

EURAZEO CONTACTS
Virginie Christnacht
HEAD OF COMMUNICATIONS vchristnacht@eurazeo.com
+33 (0)1 44 15 76 44
Pierre Bernardin
HEAD OF INVESTOR RELATIONS pbernardin@eurazeo.com
+33 (0)1 44 15 16 76

PRESS CONTACT
DAVID STURKEN
MAITLAND/AMO dsturken@maitland.co.uk+44 (0)7990 595 913

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TA Associates Completes Investment in Mid America Pet Food, Manufacturer of VICTOR®

TA associates

BOSTON – TA Associates, a leading global growth private equity firm headquartered in the U.S., today announced that it has completed an investment in leading pet food marketer and manufacturer, Mid America Pet Food, LLC, proud manufacturer of VICTOR® Super Premium Pet Food (“VICTOR”).

Joining TA as an investor is Rx3 Growth Partners, a growth equity fund founded by Green Bay Packers quarterback Aaron Rodgers. TA and Rx3 acquired their stakes in the company from Trinity Hunt Partners, a growth-oriented middle-market private equity firm that invested in Mid America Pet Food in 2014. Financial terms of the transaction were not disclosed.

Introduced in 2007, VICTOR offers super premium pet food in a variety of recipes to appeal to both dogs and cats, while helping to meet special dietary needs through grain inclusive and grain-free formulas, a variety of protein offerings and more. VICTOR is sold primarily in farm & feed and independent pet stores across the country, as well as through select online retailers. With a commitment to offering high-quality nutrition at a common-sense value, the company manufactures all kibble in-house at its Mt. Pleasant, Texas facility, sourcing many ingredients from farms and suppliers that are within a day’s drive of its East Texas plant. Ingredients are tested to ensure that they meet the company’s high-quality standards, with the goal of ensuring the health and safety of the animals VICTOR is entrusted to feed.

“VICTOR is a brand built on a foundation of quality and performance while delivering a common-sense value. The farm & feed customer was the first to recognize the superior quality of the product, and the brand continues to grow quickly in this important channel,” said Bill Christ, a Managing Director at TA Associates who has joined the Mid America Pet Food Board of Directors. “We believe that the Mid America Pet Food team has done an outstanding job creating a unique brand that offers a tremendous value to the end customer, and we look forward to working with them to drive continued growth.”

“TA Associates is an exciting partner for Mid America Pet Food at this stage of our growth,” said Greg Cyr, CEO and President of Mid America Pet Food. “We’ve never wavered from our commitment to delivering high-quality pet food at a common-sense value, which our customers have come to know and appreciate, helping to fuel our impressive growth. We look forward to continuing to deliver the premium nutrition that our customers expect, and we believe that TA will be key to supporting us in this effort as we scale the business. We would also like to thank the team at Trinity Hunt for their guidance and support over the last six years of our growth.”

“We are excited to back current management and the VICTOR brand, and believe that the pet sector, and premium pet food in particular, is a great place to invest given many favorable industry tailwinds,” said Jessica Gilligan, a Senior Vice President at TA Associates who has also joined the Mid America Pet Food Board of Directors. “More families are welcoming pets into their homes and spending per pet continues to increase as nearly all age groups, especially Boomers and Millennials, continue to view their pets as family members.”

Katten Muchin Rosenman LLP provided legal counsel and Houlihan Lokey served as financial advisor to Mid America Pet Food. Goodwin Procter LLP provided legal counsel and Harris Williams served as financial advisor to TA Associates.

About Mid America Pet Food, LLC
Founded in 2007, Mid America Pet Food produces VICTOR® Super Premium Pet Food (VICTOR) and Eagle Mountain Pet Food (Eagle Mountain). Based in East Texas, both brands offer reliable pet nutrition at a common-sense value. VICTOR’s super premium dog food formulas have been nationally recognized and are a trusted nutrition source for pet owners across the country, including outdoor enthusiasts, hunters, trainers and breeders. More information about Mid America Pet Food, VICTOR and Eagle Mountain is available at www.mapf.com, www.victorpetfood.com and www.eaglemountainpetfood.com.

About TA Associates
TA Associates is a leading global growth private equity firm headquartered in the U.S. Focused on targeted sectors within five industries – technology, healthcare, financial services, consumer and business services – TA invests in profitable, growing companies with opportunities for sustained growth, and has invested in more than 500 companies around the world. Investing as either a majority or minority investor, TA employs a long-term approach, utilizing its strategic resources to help management teams build lasting value in high quality growth companies. TA has raised $33.5 billion in capital since its founding in 1968 and is committing to new investments at the pace of over $3 billion per year. The firm’s more than 100 investment professionals are based in Boston, Menlo Park, London, Mumbai and Hong Kong. More information about TA Associates can be found at www.ta.com.

About Rx3 Growth Partners
Rx3 Growth Partners is a growth equity fund focused on the consumer sector. Rx3 was co-founded in 2018 by Green Bay Packers quarterback Aaron Rodgers and counts a number of celebrities and professional athletes as investors. The fund seeks to align itself with high-quality brands that resonate with this network to help drive consumer awareness and long-term growth. More information about Rx3 Growth Partners can be found at www.rx3growthpartners.com.

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