JAB Investors plunges deeper into vet care, SFW-backed Caron doubles revenue

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The Wire

Aug. 16, 2021

JAB Investors' NVA buys Ethos Veterinary Health in $1.65bn deal; SFW-backed Caron doubles revenue through add-on; Vance Street builds out defense tech platform

Happy Monday!

This is Karishma Vanjani, filling in for Sarah Pringle, who managed to confirm a vet care industry scoop while vacationing in the Caribbean. National Veterinary Associates, backed by the Reimann family’s JAB Investors, is plunging deeper into specialty vet care with the acquisition of Ethos Veterinary Health, sources tell Sarah Pringle. The deal, signed over the past few days, commanded an enterprise value of $1.65 billion, some of the people said. People familiar with the Bank of America and Merrill Lynch-run sale process previously placed Ethos' marketed adjusted EBITDA at around $60 million; however, sources added that estimated 2022 EBITDA is in the mid-$70 million range. Read the full story on PE Hub.

In today's newsletter, I also bring you exclusive details on two add-on deals. First: SFW Capital owned Caron Products and Services, whose products ensure vaccines are stored at the right temperature, has acquired lab equipment manufacturer Bigneat. The Bigneat deal, closed last Thursday, will nearly double the size of Caron and expand its presence in Europe. Both Caron and Bigneat are growing at excess of 25 percent this year, Ahmad Sheikh, partner at SFW told me over a call on Friday. Read the brief on PE Hub. Much like SFW, Vance Street Capital has embarked on a buy and build strategy with its newly launched defence electronic platform, Spectra A&D Holding. The firm bagged Galleon Embedded Computing, a solutions provider to the military. The deal - to be anounced today - will extend capabilities for Spectra A&D Holding. Oslo, Norway-based Galleon marks the first add-on for Spectra A&D, formed in February through the simultaneous acquisition of three US-based aerospace and defense suppliers: Calculex, Argon Corporation and FDS Avionics. Read my story on PE Hub. Tell me what's happening on ground zero? At a summer BBQ event last weekend, I met a PE firm recruiter. The source tells me that most firms are aggressively hunting for diverse talent - especially women. While this isn't new (something I've heard about from another recruiter as well), I'm wondering about other efforts by PE firms to incorporate diversity in their firms.

Read the full wire commentary on PE Hub...

That’s it for today! Do you want to talk about deals, share news around a new hire or just say hello? Hit me up at [email protected].

Also of note (may require subscriptions)

Hiring spree: Langdon Park Capital, a Black-owned real estate investment firm, announced two new hires last week, as part of its effort to meet the demand for housing in historically underserved Black and Latino neighborhoods. Read on PE Hub.