The owners of Petco are exploring a sale or initial public offering that could value the pet specialty retail company at $6 billion, including debt, according to a Bloomberg News report.
CVC Capital Partners and Canada Pension Plan Investment Board (CPPIB), the two investment groups that purchased Petco in 2016, are interviewing potential advisers while reviewing strategic options, according to Bloomberg News.
When asked about a potential IPO during a CNBC interview in July, Ron Coughlin, Petco’s CEO, admitted that the company’s fast growth is giving the company options, but declined to comment any further.
Formal efforts around a sale or IPO not expected to kick off until next year, according to Bloomberg, citing people with knowledge of the matter.
Officials for CVC, CPPIB and Petco declined to comment for the Bloomberg News report.
CVC and CPPIB in 2016 acquired the pet supplies retailer for about $4.6 billion from TPG Capital LP and Leonard Green & Partners LP.