PetMed Express, Inc. entered into an agreement to acquire PetCareRx, Inc. from Evolution VC Partners and Feenix Venture Partners for $36 million.
January 16, 2023
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PetMed Express, Inc. entered into an agreement to acquire PetCareRx, Inc. from Evolution VC Partners and Feenix Venture Partners for $36 million on January 13, 2023. Consideration for all of the issued and outstanding shares of capital stock: (a) $36 million in cash; (b) plus the amount of cash reflected on the final closing statement; and (c) plus any increase or minus any decrease in the adjusted net working capital of Company as reflected on the final closing statement as compared to a mutually agreed upon adjusted net working capital target. The transaction is subject to customary closing conditions and completion of regulatory review.
The deal has been approved by the board of directors of both PetMeds and PetCareRx. PetCareRx Requisite Shareholder Approval. Stockholders of PetCareRx approves the deal.
Following the closing of the transaction, PetMeds intends to keep the consumer facing PetCareRx e-commerce operation and brand running separately. The combined entities will expand PetMeds? existing base of over two million customers and will add approximately 10,000 incremental wellness products to the company?s existing product offering.
The deal is expected to close in the first quarter of 2023. CapM Advisors acted as the financial advisor to PetMeds in this transaction. Curt Creely of Foley & Lardner LLP acted as legal advisor to PetMed Express, Inc. Aaron N. Goldberg of Holland & Knight LLP acted as legal advisor to PetCareRx.
PetMed Express, Inc., doing business as PetMeds, is a direct-to-consumer pet pharmacy. The Company is an online provider of prescription and non-prescription medications, food, supplements, supplies and vet services for dogs, cats, and horses. It markets and sells directly to consumers through its websites, toll-free numbers, and mobile applications. Its product line contains approximately 15,000 SKUs of pet medications, health products, and supplies. The Company offers various pet supplies, including food, beds, crates, stairs and other pet supplies. PetMeds products include Non-Prescription Medications (OTC) and supplies, and Prescription Medications (Rx). OTC and supplies include flea and tick control products, bone and joint care products, vitamins, treats, nutritional supplements, hygiene products, and supplies. Rx includes heartworm and flea and tick preventatives, arthritis, dermatitis, thyroid, diabetes, pain medications, heart/blood pressure, and other specialty medications.
PETMED EXPRESS, INC. 
