VCA acquired by MARS

Mars, Incorporated completed the acquisition of all outstanding common shares of veterinary hospital and diagnostic laboratory operator VCA Inc. in a transaction where the target was valued at $5–15bn. Structured as an all-cash tender offer of $93 per share, the transaction delivered an acquisition premium of 41% over VCA's 30-day volume-weighted average share price and 31% over its closing price on January 6, 2017. Announced on January 9, 2017, and closed during the third quarter of 2017, this transformational buyout stands as the largest corporate transaction recorded in the veterinary healthcare industry. At the time of announcement, VCA operated nearly 800 animal hospitals alongside 60 diagnostic laboratories across the United States and Canada with more than 25,000 employees, whereas Mars generated over $35 billion in annual net sales and employed over 80,000 associates globally. VCA operates as an independent business division within Mars Petcare, keeping its corporate headquarters in Los Angeles under the ongoing management of co-founder and Chief Executive Officer Bob Antin. In executing the transaction, Mars engaged Morgan Stanley and BDT & Co. as financial advisors, Skadden, Arps, Slate, Meagher & Flom as legal counsel, Simpson Thacher & Bartlett for debt financing provided by J.P. Morgan, and McDermott Will & Emery for antitrust advisory; VCA was advised financially by Barclays as exclusive financial advisor, alongside legal counsel from Akin Gump Strauss Hauer & Feld and Potter Anderson Corroon. The strategic combination allows Mars to integrate VCA with Banfield Pet Hospital, BluePearl, and Pet Partners to scale an integrated clinical care ecosystem generating high-margin recurring cash flows.

As a reminder, Vca had previously acquired Companion Animal Practices in 2016 as part of its expansion strategy.