January 9, 2019
R2P Pet, Ltd. (“R2P Pet” or the “Company”), a designer and marketer of branded and private label pet supplies for dogs and cats, was acquired by Hyper Pet, LLC, a portfolio company of Guardian Capital Partners. The combination creates a meaningful competitor focused on all channels of pet products retail. Cascadia Capital, an investment bank serving middle market clients globally, acted as the exclusive financial advisor to R2P Pet in the transaction.
Based in Pleasanton, California with offices in Vancouver, British Columbia and Hong Kong, R2P Pet is a leading pet products platform, providing design, innovation and value to pet owners. The Company uses a unique, design-centric, category management approach to function as a one-stop-shop for its retail partners. R2P Pet is a preeminent category manager to leading, national retailers in the mass, grocery, and ecommerce channels for non-consumable pet products, including toys, beds, and accessories for dogs and cats.
“Pet products are now ubiquitous within physical and digital retail. While the market narrative has historically been dominated by discussions of brand, value, whether it be house brands or private label, is where much of the growth can be found, both today and going forward,” according to Bryan Jaffe, Managing Director, Cascadia Capital. “R2P Pet represents one of the best opportunities to gain access to this growth thesis. The Company is very well aligned with the channels and retailers who are capturing the disproportionate share of market growth, and its combination with Hyper Pet creates a new formidable challenger in the category.”
“We very much appreciated the role Cascadia played in facilitating this transaction,” said R2P Pet CEO Nick Yerton. “They added value in ways that you don’t expect from an investment banker, including introducing us to a meaningful new customer prior to launching the process. R2P Pet was presented with multiple transaction options, and the combination with Hyper Pet offered us both financial and strategic value.”
The acquisition of R2P Pet represents another successful transaction in the pet industry for the Cascadia Consumer & Retail team. The deal represented the fourth pet industry transaction for Cascadia in 2018. Recent Cascadia clients in the space include Kurgo, Nulo, Fruitables, and Manna Pro Products.
Or other members of the Cascadia Consumer & Retail practice:
John C. Siegler
Nicole Nugent Fry
Senior Vice President