Oil-Dri Corporation of America to acquire Ultra Pet for $46M in cash

Oil-Dri Corporation of America announced that it has entered into a definitive agreement to acquire privately-held Ultra Pet Company, a supplier of silica gel-based crystal cat litter. Under the terms of the agreement, Oil-Dri will acquire Ultra Pet for $46M in cash. Oil-Dri plans to finance this acquisition through a combination of cash-on-hand and its existing credit facilities. The board of directors of Oil-Dri and the managers of Ultra Pet’s parent company have unanimously approved the transaction which is expected to close in Oil-Dri’s fourth quarter of fiscal year 2024, after satisfaction of customary closing conditions. Oil-Dri expects this transaction to be immediately accretive to earnings following the completion of the transaction. Ultra Pet, headquartered in Anderson, South Carolina has annual net sales of approximately $24M. Ultra Pet introduced the original crystal cat litter, Litter Pearls, in the United States in 1998. Since then, Ultra Pet has expanded its product offerings and has an established presence in the crystal cat litter segment. Through multiple distribution channels such as e-commerce, pet specialty, and grocery, Ultra Pet has grown its business significantly over the past several years.