Hong Kong-based H&H Group has snapped up another US pet-food business, acquiring Zesty Paws from private-equity firm Maxim Partners.

H&H Group has agreed to pay US$610m for Zesty Paws, which markets soft chews, oral sticks and supplements to pet owners to support their dogs and cats in areas such as gut health and joints.

The deal follows December’s acquisition of US pet-food business Solid Gold. That acquisition marked the entrance of H&H Group, better known for infant formula and adult-nutrition products, into the pet-food market.

In a stock-exchange filing announcing the purchase of Zesty Paws, H&H Group said the new asset and Solid Gold “will offer our consumers a comprehensive product offering from pet food to pet supplements”.

The company added: “It also accelerates our globalisation journey with a strengthened presence in the US, the largest pet care and food market.”

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When H&H Group announced the acquisition of Solid Gold, it noted the “fast-growing popularity of pet ownership”. The company said demand “in the pet nutrition market has been robust in major markets around the world, with pet ownership accelerating further in 2020 globally and a premiumisation trend for brands offering quality and innovative pet nutrition products and solutions”.

H&H Group also saw “synergies” with its existing businesses in baby and adult nutrition “by leveraging on the nutrition expertise and capability” of its operations.

In 2020, Zesty Paws generated revenue of $73.1m and net profit after tax of just under $13m, H&H Group added.

Maxim Partners, announcing the sale of the business, said Zesty Paws’ had “over $100m in revenues”.

Last month, H&H Group reported its first-half financial results. Revenue was up 5% at CNY5.42bn (US$839.3m). Some 44% of revenue came from infant-formula sales in mainland China.

EBITDA was down 26.7% at CNY929.6m and net profit 30.2% lower at CNY501.4m. Earnings were affected by foreign-exchange losses and one-time restructuring costs.