Henry Schein, Inc. has announced that it will acquire a majority interest in Vetstreet, Inc., a software as a service (SaaS) provider of marketing solutions and health information analytics to veterinary practices and animal health product manufacturers. Vetstreet had sales in 2014 of approximately $43 million.
Upon the closing of the transaction, which is expected early in 2016, Henry Schein Animal Health, the U.S. animal health business of Henry Schein, Inc., will own 80.1 percent of Vetstreet, and the remaining minority interest will continue to be owned by VCA Inc. (NASDAQ: WOOF). Henry Schein expects the acquisition to be neutral to its 2016 diluted earnings per share and $0.01- $0.02 accretive thereafter. Additional financial details and terms of the transaction were not disclosed.
“Vetstreet will nicely complement our animal health businesses,” said Stanley M. Bergman, Chairman of the Board and Chief Executive Officer of Henry Schein. “Vetstreet’s offering will expand our practice marketing and client communication solutions, provide tools to further enhance our supplier relationships, better connect us with our veterinary customers, and help our veterinary customers better connect to their pet owner-clients.”
“Vetstreet’s services create a continuity of communication with pet owners that builds customer loyalty, improves care through better compliance and improves the health of veterinary practices,” added Mr. Bergman. “With more than three million unique monthly visitors, Vetstreet’s consumer-facing website, Vetstreet.com, includes a wide variety of features designed to connect pet owners with the veterinarian for all their pet needs, including pet-related education, training and wellness content. We look forward to multiple opportunities for business synergies, including with our AVImark and ImproMed animal health software products. We also very much look forward to welcoming the Vetstreet team to Team Schein.”
The approximately 100 members of Vetstreet will continue to be led by its current management team, including the Company’s founder and President Derrick Kraemer.
“Henry Schein is the leader in serving the evolving needs of animal health professionals and in bringing innovation to the marketplace,” said Mr. Kraemer. “As part of the Henry Schein family, we look forward to Vetstreet having an opportunity to expand and enhance its offering to better serve the unique and changing needs of veterinary customers.”