Deals

Mars Expands in Pet Care With $7.7 Billion Purchase of VCA

Deal will build on candy maker’s existing veterinary-care unit
Mars to pay $93 per VCA share, 31% premium over Friday’s price

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By Zachary Tracer and Craig Giammona

January 9, 2017 at 1:11 PM UTC

Updated on

January 9, 2017 at 5:06 PM UTC

This article is for subscribers only.

Candy giant Mars Inc., facing a slowdown in packaged food, is making a bigger bet on a booming industry: pet care.

The maker of M&Ms and Snickers agreed to buy the animal-hospital chain VCA Inc. for about $7.7 billion on Monday -- not including debt -- expanding on its existing veterinary-care business. Mars will pay $93 a share in cash, a 31 percent premium to VCA’s closing price of $70.77 on Friday.