EASTON, PA, and IRVING, TX – Phillips Pet Food & Supplies and Animal Supply Company announced plans to combine to create a national leader in pet product distribution and services. As part of the transaction, the new ownership of the combined company is investing capital and expects to secure expanded credit facilities, according to a press release.
The deal is expected to close early in the second quarter of 2020. Financial terms were not disclosed.
“Phillips and ASC have made clear progress toward building industry-leading distribution platforms and enabling our retailers and brands to delight their consumers,” said Todd Shelton, CEO of Phillips. “We are confident that a combination with ASC will enhance support for our many pet specialty retailers.”
Don McIntyre, CEO of ASC said: “We are excited about the partnership with Phillips. Our complementary distribution platforms will have greater reach and enable the combined company to provide enhanced and more efficient service – driving growth and profitability for our customers’ businesses. The ASC and Phillips teams will work together to facilitate a smooth transition for retailers and brands, as they position the combined company for long-term success.”
According to the release, transaction highlights include:
- Enhanced distribution footprint and service model. On a combined basis, the company expects to deliver a broader product assortment with more efficient routing, improved fill rates and better service.
- Improved access to consumer channels. The combined platform will have expanded reach and ability to invest in digital solutions such as the ASC Connect and Endless Aisles e-commerce offerings to support retailer and brand partner growth.
Phillips Pet Food & Supplies business started as a single feed store in 1938 and now has 13 distribution centers strategically located across the U.S.
Animal Supply Company serves independent pet specialty retailers throughout the U.S. and the Caribbean. Founded in 1987, it has grown to serve customers out of 21 distribution centers, of which 10 offer e-commerce fulfillment services. The company has more than 7,000 independent retail customers who operate more than 15,000 retail outlets distributing pet food and supplies.