The acquisition will be funded by KKR Asian Fund IV, the PE firm’s $15-billion Asia-focused buyout fund.
Natural Pet Food Group CEO Neil Hinton said the acquisition will allow the company to grow internationally, develop new products, and take its brands to new customers and new markets.
Launched in 2006, the company sells pet food through its dog and cat brands K9 Natural, Feline Natural, and Meat Mates. The company’s pet food is produced from grass-fed and free-range meat, cage-free chicken, and sustainable seafood.
“KKR’s investment marks the next phase of our evolution and their support is a strong endorsement of the outlook for our business,” Hinton added.
New Zealand has a large pet population and one of the highest rates of pet ownerships in the world, with nearly half of all households owning a cat and around one-third owning a dog, according to reports.
Commenting on the acquisition, Michael Robson, managing director of KKR Capstone, said the investment reflects KKR’s commitment to supporting fast-growing companies in New Zealand that are seeking new sectors, verticals, and markets.
KKR said it will fund its investment from KKR Asian Fund IV, which recently closed at $15 billion, the largest PE fund dedicated to investing in the Asia Pacific region.
KKR Asian Fund IV exceeded its $12.5-billion target and surpassed the record $10.6 billion raised by Hillhouse Capital Group for Asia in 2018. KKR said it will invest approximately $1.3 billion alongside fund investors through the firm and its employees’ commitments. The fund received strong support from diverse new and existing global investors, including Asia Pacific-based investors.
The final close of Asian Fund IV builds on the momentum across the PE firm’s Asia Pacific platform. In January, KKR also announced the final closings of its inaugural pan-regional infrastructure and real estate funds – the $3.9 billion Asia Pacific Infrastructure Investors Funds and the $1.7 billion Asia Real Estate Partners Fund.