Acquisition Builds Further Scale in Garden
Segment with Entry into Attractive Adjacent Category
Central Garden & Pet (NASDAQ: CENT, CENTA) (“Central”), a
market leader in the Garden and Pet industries, announced today
that it has signed an agreement to acquire Green Garden Products
(“Green Garden”), previously known as Plantation Products, for $532
million from private equity firm Freeman Spogli & Co and other
shareholders. Green Garden, headquartered in Norton, Mass., is a
leading provider of vegetable, herb and flower seed packets, seed
starters and plant nutrients in North America, shipping over 250
million seed packets annually. The addition of Green Garden’s
leading brands will expand the Central portfolio into an attractive
adjacent category and strengthen the Company’s relationship with
major retailers.
“We are thrilled to welcome Green Garden into the Central Garden
& Pet team upon closing,” said Tim Cofer, CEO of Central. “Our
new Central to Home strategy is focused on building further scale
in our two operating segments and meeting consumer and customer
needs. Adding Green Garden’s well-known and trusted seed and seed
starting brands for vegetables, herbs and flower gardens will
expand our portfolio into an attractive adjacent garden category
and will strengthen our footprint with key retail customers.
Moreover, we expect to leverage our strong merchandising, brand
building and digital capabilities to grow sales for both Central
and our retail partners.”
Established in 1980, Green Garden currently employs over 180
full-time employees with a deep sense of pride and responsibility
to carry on the traditions of its brands many of which were founded
in the mid-1800s. The company’s portfolio of well-known and trusted
brands includes Ferry-Morse® Home Gardening, Jiffy® Seed Starting,
SUPERthrive® Plant Nutrients, Livingston® Seeds, Jiffy Hydro®
Hydroponics, McKenzie® Seed, American Seed® and NK Lawn and
Garden®. With production and distribution facilities in Ohio,
California and Manitoba, Canada, Green Garden distributes more than
3,500 product SKUs to a network of over 70,000 retail locations
across the home center, mass merchant, farm and independent, dollar
store, and distributor/co-op channels in the United States and
Canada as well as through its owned and operated websites.
“We are excited to bring our existing seed and seed starter
business to Central Garden & Pet,” said Michael Pietrasiewicz,
President and CEO of Green Garden. “Our quest for innovative ideas
which leads us to develop new products that help home gardeners and
outdoor hobbyists enjoy their passion and be more successful
coupled with Central’s expertise in the lawn and garden segment
will be key to grow our business further.”
The transaction is expected to close in the second quarter of
fiscal 2021, subject to customary closing conditions, including
regulatory approval. Central senior management will provide more
details on its recent acquisitions at the Company’s first quarter
fiscal 2021 earnings call.
William Blair served as financial advisor to Green Garden and
Morgan, Lewis & Bockius LLP acted as the legal advisor. Orrick,
Herrington & Sutcliffe LLP served as the legal advisor to
Central.
About Central Garden & Pet
Central Garden & Pet (NASDAQ: CENT, CENTA) understands that
home is central to life and has proudly nurtured happy and healthy
homes for over 40 years. With 2020 net sales of $2.7 billion,
Central is on a mission to lead the future of the pet and garden
industries. The Company’s innovative and trusted products are
dedicated to help lawns grow greener, gardens bloom bigger, pets
live healthier and communities grow stronger. Central is home to a
leading portfolio of more than 65 high-quality brands including
Pennington, Nylabone, Kaytee, Amdro and Aqueon, strong
manufacturing and distribution capabilities and a passionate,
entrepreneurial growth culture. Central Garden & Pet is based
in Walnut Creek, California and has over 6,300 employees across
North America and Europe. For additional information about Central,
please visit the Company’s website at www.central.com.
About Green Garden Products
Headquartered in Norton, Massachusetts, Green Garden Products is
the leading supplier of seed packets and seed starter products for
flower and vegetable gardens in North America, as well an emerging
participant in the specialty soil category. The Company distributes
over 3,500 SKUs under the Ferry-Morse, American Seed, Livingston
Seed, McKenzie, NK Lawn & Garden, Jiffy, SUPERthrive, Dyna-Gro
and Seeds of Change brand names to a network of over 70,000 retail
locations across the home center, mass merchant, farm and
independent, dollar store, and distributor/co-op channels. The
Company provides its retail customers with best-in-class category
management services including SKU selection, packaging and
displays, in-store merchandising services, and logistical
solutions. In addition to its headquarters in Massachusetts, the
Company maintains production and distribution facilities in Ohio,
California and Manitoba. For additional information about Green
Garden Products, please visit the Company’s website at
www.greengarden.com.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of applicable securities laws. All statements, other
than statements of historical fact, could be deemed forward-looking
statements. Statements in this press release concerning Central’s
business, strategy and focus; our agreement to acquire Green
Garden; the ability to build scale in the seed category and add key
digital capabilities; and our overall future prospects are
forward-looking statements that involve a number of uncertainties
and risks. Actual results or events could differ materially from
those anticipated in those forward-looking statements as a result
of several factors, including, without limitation, our ability to
close the acquisition in a timely basis or at all, our ability to
integrate the acquired company, potential benefits of the
transaction to Central and our customers, and other factors listed
in our annual report on Form 10-K filed with the Securities and
Exchange Commission. All statements made in this press release are
made only as of the date of this press release. Central undertakes
no obligation to update the information in this press release in
the event facts or circumstances subsequently change after the date
of this press release.
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version on businesswire.com: https://www.businesswire.com/news/home/20201231005036/en/
Investor Relations Contact Friederike Edelmann (925)
412-6726 fedelmann@central.com
Media Relations Contact Liz Nunan (925) 878-9465
lnunan@central.com
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