The uncertain future of Real Pet Food Company

Australian pet food manufacturer Real Pet Food Company (RPFC) recently raised A$243 million (€145.5M/$160.3M) led by Temasek (a global investment company owned by the Government of Singapore), New Hope Group and Hosen Capital.

The capital injection was aimed to pay the firm’s standing debt and support growth in fresh pet nutrition, particularly in the Asia-Pacific (APAC) region.

Newly appointed CEO Germaine Chua, previously the CCO of the company, informed of plans for future investments in new manufacturing, R&D and supply chain capabilities to “unlock production capacity, product excellence and innovation in a way few can match here or abroad.”

“The successful capital raise reinforces the belief our investors have in our growth roadmap and gives us a strong capital position to grow through new channels, markets, partnerships and products,” she says.

However, some local media published rumors that a new shareholders’ agreement may lead to the sale of the company by 2025. According to the Australian Financial Review, this would mean “investors are unlikely to begin preparations for a sale process until this time next year at the earliest.”

The same media outlet points out that RPFC is expected to begin looking for advisers in 2024.

A critical player 

Sydney-based Real Pet Food Company is one of Australia’s largest pet food manufacturers and produces commercial and private-label pet food brands. It operates in Australia, New Zealand, the UK and across Asia.

Some of its brands include Ivory Coat, Billy + Margot, Trilogy, Farmers Market, VIP, Nature’s Gift, Fussy Cat, Jimbo’s and Dr B’s BARF.

Before the Temasek investment, a major stake of the company was held by CIC International, sold to them by Quadrant Private Equity for A$1 billion (€599.5M/$658.1M) in 2017.

Singapore government-owned Temasek gained CIC’s shares to become the current largest shareholder of RPFC.