VCA Inc., the West Los Angeles-based chain of veterinary clinics received a buyout offer Monday from Mars Inc. valued at $9.1 billion, according to the companies.
Mars, best known as the company behind M&M’s, Snickers, and a host of other candy brands, paid $93 a share for all outstanding VCA stock. The vet consortium’s stock had closed Friday trading at $70.77, but jumped more than 28 percent Monday to close the day at $90.79. Mars shelled out $7.7 billion in cash and assumed $1.4 billion of debt as part of the deal.
VCA operates more than 800 clinics and 60 diagnostic facilities in the United States and Canada. The company had revenues of $2.1 billion in 2015 and had more than 22,000 employees, according to documents filed with the Securities and Exchange Commission.
While Mars is known for its line of sweets, the company also owns brands like Pedigree and Whiskas. Mars Chief Executive Grant Reid said in a statement that the companies’ would integrate well together.
“We are thrilled to welcome VCA to the Mars family and to our portfolio of brands and businesses around the world,” Reid said. “VCA is a leader across pet health care and the opportunity we see together – for pets, pet owners, veterinarians and other pet care providers – is tremendous.”
Deals & Dealmakers reporter Henry Meier can be reached at firstname.lastname@example.org. Follow him on Twitter @henry_meier.