Merchant bank with pet industry focus invests in omega-3 oil supplements for dogs and cats
Mississauga, Ontario – July 25, 2017. Dane Creek Capital Corp. (‘DCCC’ of the ‘Company’), a merchant bank with a focus on pet industry investments, is pleased to announce it has entered into an agreement to acquire the non-manufacturing pet assets of Nature’s Way Canada (‘Nature’s Way’). Based in Dartmouth, Nova Scotia, Nature’s Way is the manufacturer of premium supplements for dogs and cats sold under the CanineOmega3TM and FelineOmega3TM brands. Both supplements are available online or via retailers in Canada and the United States.
Under the terms of the agreement DCCC will acquire all current and future formulations of the CanineOmega3TM and FelineOmega3TM brands, all material contracts, customer lists and current inventories. Additionally, the two parties have entered into a six-year contract whereby Nature’s Way will continue to manufacture supplements for DCCC. The purchase of these assets by DCCC will be completed via its wholly owned Nova Scotia-based holding company Dockside Investco. A new operating subsidiary will be created by DCCC to coincide with closing. No financial terms were released.
“We are excited to be making this announcement,” said Glen Tennison, President and CFO of DCCC. “Nature’s Way is well known for manufacturing high quality supplements for both people and pets. We look forward to working with them to create a wide range of supplements to meet the needs of health-conscious pet owners shopping online, in pet specialty retail stores and in mass retail and grocery stores.”
There are numerous health benefits associated with omega-3 oil supplements and a growing body of research to support their use in dogs and cats. Most notably, omega-3 oil can assuage symptoms and discomfort caused by osteoarthritis, inflammatory skin disorders, heart disease, and kidney disease. Administration of omega-3 oil is also linked to improved cognitive function and has neuroprotective effects against age-related decline. The current line of products manufactured by Nature’s Way offer a total of 1,170mg of eicosapentaenoic acid (EPA) and docosahexaenoic acid (DHA) per teaspoon, one of the highest levels found in omega-3 oil supplements. As the pet population ages the use of supplements is expected to grow as pet owners look to support their pets’ immune systems and provide joint-related pain relief for their pets. More information can be found at www.nutrasea.ca.
“Our partnership with DCCC will allow Nature’s Way to focus more closely on the development and manufacturing aspect of our business,” said Steve Chiasson, Vice President and General Manager of Nature’s Way Canada. “Our track record in human supplements speaks to our expertise in those areas and we look forward to bringing that to the expanding market for pet supplements.”
“In addition to the opportunities this opens up, this partnership is also about creating jobs in Nova Scotia and our commitment to the development of a pet industry hub in the province,” added Tennison. “Combining our distribution capabilities with Nature’s Way’s manufacturing excellence is a formula which will lead to a bigger business supporting more jobs.”
This is DCCC’s third strategic investment in the Province of Nova Scotia in the last nine months. The Company has earlier announced investments in Midgard Insect Farm Inc., an emerging leader in the cultivation and research of crickets and other insects for protein, and Dockside Pet Products Inc., the first pet treats and meal mixer manufacturer to exclusively use ‘rescued fresh food’ and sustainable ingredients. DCCC is headquartered in Mississauga, Ontario.
The transaction which is subject to customary closing conditions is expected to be completed on or before September 30, 2017.