General Mills has acquired North American assets from Whitebridge Pet Brands in a $1.45 billion deal, marking its fifth investment in the pet food sector and a strategic push to grow its presence in premium cat food and treats.
Announced on November 14, the deal includes popular brands such as Tiki Pets and Cloud Star, along with two manufacturing plants in Missouri. These assets generated about $325 million in retail sales over the past year, according to Nielsen data, mostly through pet specialty stores and online platforms.
The acquisition, which excludes Whitebridge’s European operations, comes amid General Mills’ efforts to revitalize its pet segment, particularly in North America. In the fiscal year ending May 26, the division saw net sales drop 4%, driven by a 7% fall in volumes, though operating profit rose 9% due to lower costs.
Jeff Harmening, CEO of General Mills, previously told analysts the company would continue to seek growth opportunities through mergers and acquisitions. “Returning our Pet segment to growth is a key priority in fiscal ’25,” he said.
Blue Buffalo, acquired in 2018 for $8 billion, marked General Mills’ return to the pet food market. Since then, the company has added several businesses, including Tyson Foods’ pet brands in 2021 and pet supplement company Fera Pets in 2023. Most recently, it acquired European pet food firm Edgard & Cooper earlier this year.
Industry analysts say this latest move helps fill a gap in General Mills’ portfolio. While the company has been strong in dog food, it has struggled to gain ground in cat food and treats. Tiki Pets, known for its premium wet cat food, now makes up about two-thirds of Whitebridge’s business and is seen as the central asset in the deal.
“This acquisition gives General Mills a strong foothold in the fast-growing premium wet cat food category, where it previously had little presence,” said Robert Moskow, managing director at TD Cowen. He noted that General Mills’ earlier attempts to expand into pet treats had underperformed, even after the $1.2 billion acquisition of Tyson’s treat brands.
Matthew Smith, senior equity analyst at Stifel, pointed out that cat food has been outpacing dog food in market growth since late 2023. “About 70% of Whitebridge’s sales are cat-related, and demographic trends like rising cat ownership and affordability compared to dogs are driving faster growth in this segment,” he said.
As part of its broader ‘Accelerate’ strategy launched in 2021, General Mills has identified pet food as one of five core business platforms. The company also aims to tap into the “humanisation” trend, where pet owners spend more on premium food products. Innovations like seasonal pet gift packs and smaller treat sizes are planned to match this shift in consumer behavior.
The acquisition is expected to close in the third quarter of General Mills’ financial year, ending in late February. The company plans to integrate the new brands to complement its Blue Buffalo line and support growth in key areas like cat feeding and pet treats.
Jon Nudi, president of General Mills’ North America pet segment, said: “Tiki Pets and Cloud Star strengthen our pet food offering and align well with our strategy to grow in high-value categories.”
Despite recent challenges, the company sees this acquisition as a key step in re-energizing its pet division and meeting demand in a shifting and competitive market.
