Partner in Pet Food wants to stay independent despite Advent sale

Tesco own-label petfood supplier Partner in Pet Food (PPF) plans to remain independent despite being put up for sale by its private equity owner Advent.

Advent, which supported a £165m MBO of the Hungarian firm in 2011, is understood to have instigated an auction process for the supplier.

However, PPF’s management intends to stay in place following the conclusion of the process and aims to remain independent, according to sources close to the sale, with further private equity investment rather than a sale to a larger fmcg group preferred.

PPF claims to be Europe’s second-largest private label wet and dry petfood supplier. In February it reported record turnover for 2014 of €235m, up 5% year on year, with particularly strong growth in the UK, where it trebled sales after securing a deal to supply Tesco with own-label dry and wet foods.

A City source suggested PPF was keen to continue this UK growth and is in talks to make a UK acquisition of its own before the year-end to support growth.

Talking to The Grocer last month, CEO Attila Balogh said he hoped to introduce more own-label and branded lines to the UK. “I see PreVital [catfood] as a possibility for the UK. Consumers are looking for more choice and innovation, particularly at the premium end,” he said.

PPF’s management team hopes a new financial backer will support its growth strategy across Europe, which could also include non-UK acquisitions.

PPF said: “We do not comment on speculation. PPF’s focus remains on continuing to execute its strategy for growth and building on its financial and operational progress to date.”