Central Garden & Pet acquires majority stake in Germany's TRIXIE, targets European pet-supplies leadership

MarketBeat Mon, July 27, 2026 at 8:02 AM PDT 5 min read

Tickers: CENT | CENTA

Key Points

• Central Garden & Pet agreed to acquire a majority stake in Germany's TRIXIE, valuing the deal at a high-single-digit multiple before synergies. Management says the combination could create the world's largest pet-supplies company and give Central a strong platform in Europe.
• TRIXIE could provide significant growth opportunities through cost savings, European distribution of Central products, U.S. distribution of selected TRIXIE products, e-commerce development, and expanded exposure to cat products.
• The transaction is expected to be margin- and earnings-accretive despite TRIXIE's recent low-single-digit sales declines. Central plans a cautious first-year integration focused on preserving TRIXIE's culture, while pursuing a gradual turnaround and synergies.

Central Garden & Pet (NASDAQ: CENT) announced it has signed an agreement to acquire a majority stake in TRIXIE, a German pet supplies company. CEO Niko Lahanas described the transaction as a major expansion of the company's pet business and a platform for Europe.

Lahanas said the combination would make Central and TRIXIE "the largest pet supplies company globally," while providing Central with what he called a strong beachhead in the European market. The company did not disclose a purchase price during the call, but management said the acquisition was valued at a high-single-digit multiple before synergies.

"We feel like a lot of the risk has been taken out of the business because of the valuation that we're getting it at," Lahanas said. CFO Brad Smith added that the cited multiple excludes anticipated synergies.

Founder Exit Created Acquisition Opportunity

Lahanas said Central first visited TRIXIE in Germany in December and had since conducted diligence and negotiated valuation. He characterized the transaction as a "once-in-a-lifetime opportunity," noting similarities between the companies, including TRIXIE's founder-inspired culture.

According to Lahanas, TRIXIE's founder was seeking to exit the business and establish a foundation. The asset was offered through an auction process, though Central's management team developed a strong relationship with TRIXIE's leadership, he said.

"The first meeting we had, it felt like we'd known each other for 10 years," Lahanas said, describing the cultural fit as an important factor in the deal.

Management said the process required extensive diligence because TRIXIE is a private German company and uses accounting practices that differ from those commonly used by Central.

European Platform and Potential Synergies

Central views TRIXIE as the largest player in Europe's non-food pet-supplies market, supported by logistics capabilities, product assortment, and a sales force. Lahanas said the company's research indicates that Europe has a more fragmented market and potentially lower acquisition multiples than the U.S.

While Central sees potential for additional European opportunities over time, Lahanas said the company intends first to focus on onboarding and integrating TRIXIE.

"We don't want to get too ahead of ourselves, though," Lahanas said. "We've got to kind of digest this one around integration and just overall onboarding."

Management outlined several potential opportunities from the transaction:

• Cost synergies between the businesses
• European distribution of Central products
• U.S. distribution of selected TRIXIE products
• E-commerce development
• Expanded exposure to cat products