PETS International | Consolidation Meets Regulation in the Veterinary Clinics Market

Apr 2024

Originally posted by PETS International on April 5, 2024.

Animal health is becoming a big business in Europe and the U.S. Thus, regulators are turning a closer eye to mergers and acquisitions (M&A) activity.

Matt Lee, Managing Director and co-head of Lincoln’s European Healthcare Group, commented, “Regulation is now playing a growing role in the global veterinary market and influencing M&A, especially in Europe – most prominently in the UK and France. The US market is not immune either, with the Federal Trade Commission (FTC) imposing restrictions on the activities of Mars and JAB especially.”

These developments have led to a private equity comeback. This is beneficial for the sector as it expands the owner and future buyer base.

“One thing that has come out of the recent developments in Europe is the return to form of private equity over trade – perhaps a reflection of a moderation of valuation in the current high-interest environment and lesser competition from trade as balance sheets are repaired after years of aggressive deal making,” Matt said.

View additional insights in the original article.