MPM Sells to Partners Group, 3i Group Secures £400m
Deal News | Jun 17, 2025 | 3i Group
3i Group has announced the sale of its portfolio company, MPM, a global leader in premium, natural pet food, to the investment firm Partners Group. This transaction is expected to yield 3i approximately £400 million in gross proceeds, marking a 3.2x multiple of invested capital with an internal rate of return (IRR) of 29%. Since 3i's December 2020 investment, MPM's sales and EBITDA have more than doubled, expanding across multiple retail channels and growing international sales to constitute 80% of total revenues. MPM's popular cat food brands such as Applaws, Reveal, and Encore offer high-quality, clean-label products that appeal to both consumers and retailers. Over the years, 3i supported MPM's growth through strategic improvements in branding, product innovation, operations, and sustainability, including recertification as a B Corp in 2024. The completion of the transaction is expected in Q3 2025 subject to regulatory approvals, with Harris Williams serving as financial advisor for 3i.
Sectors
- Pet Food Industry
- Private Equity
- Investment Advisory
Geography
- United Kingdom – 3i Group is headquartered in the United Kingdom and MPM has significant market operations and strategic activities in this region.
- Global – MPM has expanded its international sales which now make up 80% of its total revenue across US, EMEA, and APAC regions.
Industry
- Pet Food Industry – MPM is a company operating in the premium, natural pet food market with well-known brands such as Applaws, Reveal, and Encore.
- Private Equity – The transaction involves 3i Group's exit from its investment in MPM, which it had acquired as part of its private equity portfolio.
- Investment Advisory – Harris Williams acts as the financial advisor to 3i in the transaction, highlighting the role of investment advisory services.
Financials
- c.£400m – Gross proceeds to 3i Group from the sale of MPM.
- 3.2x – Multiple of invested capital achieved by 3i on its investment in MPM.
- 29% – Internal rate of return (IRR) achieved by 3i from the investment in MPM.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| 3i Group plc | Seller | Company | A leading international investment manager focused on mid-market Private Equity and Infrastructure. |
| MPM | Target | Company | A global leader in premium, natural pet food known for brands like Applaws, Reveal, and Encore. |
| Partners Group | Buyer | Company | A large global private markets firm acting on behalf of its clients in acquiring MPM. |
| Harris Williams | Financial Advisor | Company | Acting as the financial advisor for 3i Group in its sale of MPM. |
| Julian Bambridge | CEO, MPM | Person | CEO of MPM who led the company through its expansion and strategic initiatives with 3i. |
| Rupert Howard | Partner, 3i | Person | Partner at 3i who was involved in the deal with MPM. |