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Wind Point-backed Pestell acquires BPV Environmental

Pestell Group has acquired BPV Environmental, a Byron Center, Michigan-based manufacturer of paper animal litter, small animal bedding, and lawn and garden products.

No financial terms were released.

Based in New Hamburg, Ontario, Pestell is an animal feed minerals and ingredients distributor, and cat litter and small animal bedding products maker. The acquisition expands its product portfolio and supports further growth in the Midwestern United States.

Pestell was acquired in June by U.S. private equity firm Wind Point Partners. Wind Point collaborated in the deal with Matt Miller, who joined Pestell as CEO.

PRESS RELEASE

Pestell Group Acquires BPV Environmental

Acquisition expands Pestell’s product breadth and facilitates further expansion into the Midwestern U.S.

Chicago, IL, October 3, 2018 – Wind Point Partners and portfolio company Pestell Group (“Pestell” or the “Company”) are pleased to announce today that Pestell has acquired BPV Environmental (“BPV”) through its Pestell Pet Products (“PET”) business unit. BPV, founded in 2001 and headquartered in Byron Center, MI, is a leading manufacturer of alternative, paper-based animal litter, small animal bedding, and lawn and garden products.

The combination of Pestell and BPV creates the opportunity to leverage both companies’ complementary products, brand portfolios, and distribution networks in the U.S. and Canada. BPV manufactures both private label and branded pet care and lawn and garden products, selling its products through retailers, distributors, and other manufacturers. BPV facilitates additional avenues of growth for Pestell, with the Company’s product portfolio now including paper-based cat and multi-cat litter, small animal litter, small animal bedding, mulch and lawn patches.

Matt Miller, Pestell Group CEO, expressed, “I am happy to welcome the entire BPV team into the Pestell Group organization. Both businesses share common values, cultures and customer bases, and we are excited about the future with this combination. We believe BPV and Pestell customers will be excited to hear about the additional opportunities we can now provide as a combined organization.”

Paul Peterson, Managing Director with Wind Point Partners, stated, “BPV provides significant strategic value for Pestell as it increases the Company’s product breadth and further expands Pestell into the Midwestern United States. Entrepreneurs Marty Phelan, Tom Vogeler, and Jody Black have built a fantastic business and we are eager to continue growing it with Pestell.”

The acquisition of BPV continues Wind Point’s long history of partnering and working with family-held businesses and marks Pestell’s first acquisition as the Company seeks to expand its product offering and geographic presence for its customer base.

Marty Phelan, Co-Owner of BPV, said, “The merging of BPV and Pestell, with the support of Wind Point, will create a solid foundation that will help accelerate our growth. Through this process we’ve built strong relationships with the Pestell and Wind Point teams and are extremely confident they’ll be able to take BPV to the next phase of its growth. I’m excited for the opportunities this transaction creates for our BPV team members, customers and vendors.”

Wind Point Partners acquired Pestell in June of 2018 in partnership with Matt Miller, a more than 20-year veteran of the pet and consumer industries. In cooperation with Matt and management of Pestell and BPV, Wind Point will seek to continue expanding the Pestell platform through a combination of organic growth and complementary acquisitions like BPV. The Wind Point investment team has considerable experience in consumer products, including the pet industry, which has been an area of focus for the firm since its founding in 1984.

Antares Capital, BMO Sponsor Finance and PennantPark led the debt financing for the transaction. Kirkland & Ellis LLP served as legal counsel to Pestell.

About Pestell Group
Pestell is comprised of two distinct business units, which includes Pestell Minerals and Ingredients (“PMI”) and Pestell Pet Products (“PET”). PMI is a leading distributor of animal feed minerals and ingredients for a wide variety of livestock. PET is a full-line manufacturer of cat litter and small animal bedding products. Pestell is headquartered in Ontario, Canada, with two business units that share warehousing and manufacturing space. Pestell also maintains 15 third party warehouses across North America for its animal feed products business.

Additional information about Pestell can be found at www.pestell.com.
About Wind Point Partners
Wind Point Partners is a Chicago-based private equity investment firm with approximately $2 billion in assets under management. Wind Point focuses on partnering with top caliber management teams to acquire well-positioned middle market businesses where it can establish a clear path to value creation. The firm targets investments in the consumer products, industrial products, and business services sectors. Wind Point is currently investing out of Wind Point Partners VIII, a $985 million fund that was initiated in 2016.

Additional information about Wind Point is available at www.windpointpartners.com.

Media Contact:

Ron Liberman, Wind Point Partners
Phone: 312.255.4812
Email: rliberman@wppartners.com