Central Garden & Pet CompanyCENT has entered into a definitive agreement to acquire a majority stake in TRIXIE Heimtierbedarf GmbH & Co. KG, Europe's leading pet supplies and pet snacks company. The transaction marks an important step in expanding Central Garden's European footprint while supporting its Central to Home strategy of broadening its portfolio of pet and garden brands and building a stronger global pet supplies platform.
Founded in 1974 and headquartered in Tarp, Germany, TRIXIE serves more than 30,000 pet specialty retailers across international markets with a portfolio of over 6,000 products spanning dogs, cats, birds, reptiles and small animals. Around 90% of its sales come from proprietary brands, supported by consistent product development, extensive category knowledge and advanced logistics and fulfillment operations.
Management expects the acquisition to strengthen Central Garden's ability to benefit from long-term industry trends such as increasing spending on pet health, premium products, pet humanization and pet technology. The combination is also expected to support organic growth through continued product innovation, broaden the company's distribution reach and create a scalable platform for expansion within Europe's fragmented pet specialty market. Following the transaction, approximately 10% of Central Garden's net sales are expected to be generated outside the United States, further strengthening its international presence.
Following completion of the transaction, TRIXIE will operate as part of Central Garden's Pet segment, while its current leadership team will continue managing the business to ensure continuity. Central Garden also intends to utilize its sourcing network and product development expertise to support TRIXIE's future growth while maintaining the company's entrepreneurial culture, customer-focused approach and established market position. The transaction is expected to close during the first half of Central Garden's fiscal 2027, subject to regulatory approvals and customary closing conditions.
The Zacks Rundown for CENT
Shares of this Zacks Rank #4 (Sell) company have soared 30.2% in the past six months compared with the industry’s growth of 3.9%.
Image Source: Zacks Investment Research
From a valuation standpoint, CENT trades at a forward price-to-earnings ratio of 14.51, lower than the industry’s average of 14.73.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for CENT’s current and next fiscal year earnings implies year-over-year growth of 5.9% and 3.8%, respectively.
Image Source: Zacks Investment Research
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