Elmhurst-based Revolution Enterprises has completed its acquisition of Reilly’s Hemp Inc. The hemp-derived cannabinoid pet product company commonly known as HempVet is based in Burlington, Vt. Financial terms were not disclosed.
Hemp-derived CBD products are increasingly used for pets to address a variety of conditions, such as anxiety, digestive disorders, inflammation and the effects of aging. According to American Pet Products Association, the overall U.S. pet care market was $72.56 billion in 2018 and is projected to reach $75.38 billion in 2019. On a global basis, the pet care market is estimated to be over $200 billion by 2025, according to Grand View Research.
“HempVet is a key player in the rapidly expanding pet wellness segment,” Revolution Chief Strategy Officer Oleg Movchan said in a statement. "This accretive acquisition represents a highly complementary position to our brand and product portfolio while strategically leveraging Revolution’s IP and operating capabilities. Together, HempVet and Revolution will capture one of the fastest growing addressable markets for hemp-derived products."
HempVet is a national brand in the pet product market with more than 35 years of science-based pet product development expertise, and a strong online and national retail distribution footprint. HempVet’s suite of products stands apart from its competitors by focusing on quality — its entire product portfolio has been awarded the rigorous National Animal Supplement Council seal.
As part of the transaction, Movchan will join HempVet’s board, along with CEO Mark de Souza and CFO Tripp Murray. In addition, Will Billings, who brings more than two decades of experience in key leadership roles in such consumer packaged goods companies as Keurig Green Mountain, Unilever and Seventh Generation, will join the management team as HempVet’s new CEO.
“Revolution’s involvement as a strategic capital partner puts HempVet on an accelerated path to capturing significant market share of the pet wellness market, fueled by increased adoption of cannabinoid-based products,” Billings said in a statement. "I am excited about this opportunity to work together with Revolution and capture significant synergies across our brands, talent and cross-functional expertise. The possibilities for continuing to expand our line of proprietary products and formulations are truly unlimited."
