Franchise Group Inc. (Nasdaq: FRG) is acquiring Pet Supplies Plus, a pet supplies retail chain, from Sentinel Capital Partners for $700 million. The target operates more than 500 locations, with almost 60 percent of them franchised.
“PSP adds another franchise concept with strong unit economics, diversification into an economically resilient and secularly growing pet industry, and a brand that has and will continue to experience robust unit expansion from its franchise system,” says Franchise Group CEO Brian Kahn. Franchise Group also owns Liberty Tax Service, Buddy’s Home Furnishings, American Freight and the Vitamin Shoppe.
B. Riley Securities served as financial advisor and Willkie Farr & Gallagher LLP served as legal counsel to Franchise Group. Piper Sandler, North Point and Baird served as financial advisors to Pets Supplies Plus and Kramer Levin provided legal counsel.