Musti Group responds to increased demand for locally and sustainably produced pet food – increases its holding in petfood factory Premium Pet Food Suomi Oy to 100%
Musti Group plc Press Release 3 April 2023 at 12:00 p.m.
Musti Group responds to increased demand for locally and sustainably produced pet food – increases its holding in petfood factory Premium Pet Food Suomi Oy to 100%
Musti Group has acquired full ownership of the petfood factory Premium Pet Food Suomi Oy in Lieto, Finland. From 3rd of April 2023 onwards the factory, the ‘Musti Kitchen’, will be a fully owned subsidiary of Musti Group. Prior to the transaction, Musti Group held 49.2% of the shares in Premium Pet Food Suomi Oy.
Premium Pet Food Suomi Oy’s sales from its previous financial year July 2021 – June 2022 was EUR 7.7 million and FAS EBITDA EUR 1.4 million. Musti Group expects the annualized result impact of the transaction to be approximately EUR 3 million positive with current volumes.
Musti Group is all about supporting the well-being of pets and their parents. We believe in collaboration and in designing our assortment and services together with our customers. The demand for local and sustainable products is on the rise and Musti Group is happy to respond to that. An increasing number of pet parents appreciate dog food that is locally produced and where environmental aspects have been taken into consideration in the production. The Lieto factory has a logistically optimal location regarding raw material supply, and the ingredients come mainly from local producers. The supply chain is transparent: Musti can track the origin of the ingredients all the way back to the farms.
A core element of Musti Group’s strategy is growing the share of sales of own and exclusive products sold only in Musti Group’s channels. One of the key initiatives in the strategy for own products in the financial year 2022 included ramping up the dry food production of Musti Group’s own brands in the Lieto factory, and this development will continue. The factory has currently good capability to produce frozen and dry food.
CEO David Rönnberg: ‘This transaction allows us to deepen our commitment to sustainably produced products. We can listen to our customers and respond to the increased demand for locally and sustainably produced products and increase our profitability at the same time by increasing the production of our own brands. This transaction supports our strategy perfectly.’
Musti works to promote a greener society actively seeking ways to reduce logistics emissions and aiming at using 100% renewable energy sources in the Nordic operations. The Lieto factory contributes also to this goal, as all the energy used in the manufacturing process is fully renewable, and the factory has its own solar panels that contribute to the overall energy need of the factory.
Additional information:
Toni Rannikko
CFO
tel. +358 40 078 8812
Essi Nikitin
Head of IR and Communications
tel. +358 50 5811455
Distribution:
Principal media
www.mustigroup.com
Musti Group in brief
Musti makes the life of pets and their owners easier, safer and more fun. We are the leading Nordic pet care company, and we operate an omnichannel business model to cater for the needs of pets and their owners across Finland, Sweden and Norway. We offer a wide, curated assortment of pet products. We also provide pet care services such as grooming, training and veterinary services in selected locations.
Musti Group’s net sales were EUR 391 million in the financial year 2022. At the end of the financial year 2022, the company had 1,587 employees, 1.5 million loyal customers and 335 stores.