Clearwater International has advised PetMeds.co.uk on its acquisition by MedicAnimal.com, the animal health online retailer.
PetMeds.co.uk is one of the leading European online retailers for animal medicines, veterinary pet food, pet grooming and pet supplies. In the year ending March 2012, the company had a turnover in excess of £10m. PetMeds was formed from the back of a veterinary practice in 2006 by IT entrepreneur Ricky Thomas after seeing an opportunity to address the rising costs of pet healthcare via an online channel. Initially focussing on the UK, the company commenced selling into Europe via local websites in Germany, France and Spain.
Clearwater International worked closely with Ricky and his team to emphasise the strengths of the business to a third party acquirer. Among other things, this involved undertaking significant customer lifetime value and marketing analysis, which illustrated the high value of the Company’s customers and where best to direct marketing spend. Clearwater International also introduced an experienced Chairman to guide the management team through the disposal process.
MedicAnimal were a key competitor of PetMeds and have an on-going strategy to operate the best websites across the pet sector. The deal will see Thomas and the rest of the PetMeds team join MedicAnimal to become Europe’s largest online player in pet healthcare and to assist them with their growth plan. The acquisition was funded by Balderton Capital; a leading EU investor and Iris Capital. Clearwater International’s consumer team advised PetMeds.co.uk on a deal which enabled them to find a suitable buyer for the company.