The Home and Garden division of Spectrum Brands Holdings has announced its acquisition of The Liquid Fence Company, a producer of consumer animal repellents.
“Liquid Fence gives us a new, complementary and leadership position in a rapidly expanding segment of the $1.5 billion U.S. retail lawn and garden controls market,” said Dave Lumley, president and CEO of Spectrum Brands Holdings. “We see excellent revenue growth potential, given our Home and Garden division’s strength in the lawn and garden category and the impressive growth rate of the animal repellents category. Liquid Fence fits well within Home and Garden’s many core strengths, including liquid production, regulated products and distribution overlap."
According to a Spectrum Brands release, the Liquid Fence brand is positioned at the forefront of the U.S. consumer animal repellents market, which is estimated to be growing at more than double the rate of the overall lawn and garden category. Its flagship product, Liquid Fence Deer & Rabbit Repellent, is number one of its kind.
"This textbook, tuck-in acquisition fits perfectly with our stated strategy to seek synergistic, bolt-on acquisitions that expand our product line with strong, complementary brands and categories, increase and extend our market penetration leveraging the Spectrum Value Model, and provide for quick and major manufacturing, distribution and SG&A synergies,” Lumley added. “The transaction is immediately accretive, and the synergies we expect quickly will result in an even more attractive multiple paid for the business.”
Specific financial terms of the all-cash transaction were not disclosed.