Private equity firm ECI Partners has sold UK premium pet food business MPM to 3i Group, which has agreed to invest about £125m alongside management for a majority stake.
Cheshire-based MPM was founded in 2002 and owns brands such as Applaws, Encore and Reveal. It has a presence in the UK, EMEA and APAC with a fast-growing business in North America. International sales account for more than 60% of revenues and the brands sell through retailers across pet specialist, grocery and online channels.
Over the past six years, MPM has grown consistently at double digit CAGR and is ‘highly cash generative’.
Rupert Howard, director of 3i, said: “We have been tracking MPM for a long time and are delighted to invest in this rapidly-growing, resilient business.
“Owners looking to feed their pets natural, high quality food with recognisable ingredients are drawn to MPM’s brands across a variety of channels and geographies.
“MPM fits well with 3i’s desire to invest in strong mid-market businesses where we see significant headroom for further international growth. We look forward to supporting Julian, James and their excellent team with their ambitions.”
Julian Bambridge, CEO of MPM, added: “3i has a formidable track record in helping its companies to grow internationally, particularly in the US market. This will be especially key for MPM as we look to accelerate our expansion in North America. The 3i team also has significant brand expertise through a number of its consumer investments which will be of great benefit to MPM.”
Mark Keeley, partner at ECI Partners, said: “We’re delighted to announce the sale of MPM. Julian and the team have done an exceptional job, successfully growing the business internationally, with MPM’s focus on quality really resonating with consumers globally.
“We believe MPM is well placed to continue its impressive growth and would like to thank the team for a successful partnership as we wish them all the best for the future.”.