MWI Veterinary Supply, Inc. ("MWI" or "the Company") (NASDAQ: MWIV) announced today that it has entered into a definitive agreement to acquire substantially all of the assets of Micro Beef Technologies, Ltd. ("Micro") for approximately $60 million, including approximately $53.4 million in cash and common stock valued at $6.6 million.
The transaction is subject to antitrust clearance and certain other customary closing conditions and is expected to close in MWI's first fiscal quarter of 2012, which ends December 31, 2011. The transaction is expected to be slightly accretive to MWI in the fiscal year ending September 30, 2012 after giving effect to acquisition-related expenses and integration costs.
Founded in 1971, Micro is a value-added distributor to the production animal market, including the distribution of feed additives, pharmaceuticals, vaccines, parasiticides, supplies, and other animal health products. Micro also is a leading innovator of proprietary, computerized management systems for the production animal market. Micro is headquartered in Amarillo, Texas and generated total revenues of approximately $193 million for its year ended December 31, 2010.
Jim Cleary, President and Chief Executive Officer of MWI, commented, "We look forward to welcoming Micro, its team members and customers to MWI. The technology-based systems will enable MWI to enhance our customer service in the production animal market."
Bill Pratt, Chairman and Founder of Micro, added, "I am proud of the accomplishments and contributions of Micro. At the same time I am pleased at the opportunities that this acquisition will present for Micro to expand by using the resources of MWI and pursuing the many synergies presented in the combination of the two businesses."
Mark Shaw, President of Micro, commented, "The synergies of the two companies will present exciting potential in a total solution to the production animal market by combining the technology-based programs and services from Micro with the well-established animal health distribution business of MWI."
MWI is a leading distributor of animal health products to veterinarians across the United States of America and United Kingdom. Products MWI sells include pharmaceuticals, vaccines, parasiticides, diagnostics, capital equipment, supplies, veterinary pet food and nutritional products. We market these products to veterinarians in both the companion animal and production animal markets. For more information about MWI, please visit our website at www.mwivet.com. For investor relations information please contact Mary Pat Thompson, Senior Vice President of Finance and Administration, and Chief Financial Officer at (208) 955-8930 or email