MERRICK PET CARE acquired by NESTLE PURINA PETCARE

Nestlé Purina PetCare agreed to acquire Merrick Pet Care, a Texas-based manufacturer of natural and organic pet food, from Swander Pace Capital and its fellow shareholders, including founder Garth Merrick, Monitor Clipper Partners and Highland Consumer Partners. The transaction was announced during SuperZoo 2015, a major pet industry trade show, and completed on September 2, 2015. Merrick generated annual revenue of $250–500M at the time of the transaction. Swander Pace Capital had acquired Merrick in 2010 and supported its development through investment in new product lines and product extensions. During its ownership, Merrick expanded its portfolio through the acquisition of Castor & Pollux in 2012, strengthening its position in the natural and organic pet food segment. The company's brands included Merrick, Castor & Pollux and Whole Earth Farms, alongside products marketed under the Organix, Natural Ultramix and Good Buddy names. The sale marked Swander Pace Capital's second exit in the pet food sector, following its disposal of Eagle Pack Pet Foods to WellPet LLC in 2007. Following the acquisition, Merrick continued to operate as a standalone business, with its existing management team and operations remaining in place. Greg Shearson retained his position as chief executive officer. At the time of the deal, Merrick employed more than 350 people, primarily across its operations in Texas and Illinois. The acquisition gave Nestlé Purina PetCare an opportunity to expand its presence in the natural and organic pet food market and add Merrick's established brands to its portfolio. Kirkland & Ellis LLP served as legal counsel to Swander Pace Capital, while Credit Suisse acted as its financial advisor.