The investment firm buys the popular pet products manufacturer with more than 60 years of history.
Although financial terms of the deal were not disclosed, some sources say the company got sold for nearly $700 million. Which is $280 million more than what the private equity firm paid for the pet company in 2017.
Headquartered in Arlington, Texas, Petmate was founded in 1959 as Doskocil Manufacturing with a singular focus on providing safe pet transportation, resulting in the development of the industry's first dog kennel.
Platinum Equity Managing Director Adam Cooper: "The company's vertically integrated manufacturing capabilities and domestic footprint help ensure an efficient and reliable supply chain, which is more important than ever in today's environment."
Petmate CEO Alice Tillett will continue leading the company following the change in ownership.
"We are so excited to join Platinum's portfolio of industry leading companies," said Alice Tillett, Chief Executive Officer of Petmate. "The pet industry in general and Petmate specifically are extremely well positioned for success. With the support of Platinum Equity and a strong core team at Petmate, we are confident and energized to enter our next phase of growth."
In addition to opportunities for organic growth, Platinum Equity expects to use its M&A resources to help the company expand.
"Petmate is a strong platform of scale operating in a highly fragmented industry," added Mr. Cooper. "With our financial, operational and M&A resources, we will support the company in its pursuit of further growth through additional acquisitions. There are significant near-term opportunities to broaden Petmate's capabilities, diversify its product portfolio and blue-chip customer base, and accelerate its expansion in the fast growing e-commerce channel."