Central Garden to Buy 3 Pet-Supply Firms

Central Garden & Pet Co. said it will acquire three closely held pet-supply companies for about $135 million in cash as the company expands its presence in the pet-supply products industry. Lafayette-based Central Garden said it will pay $70 million in cash for TFH Publications Inc., the maker of Nylabone dog chews and edible bones and the largest producer of pet books in the U.S. TFH, based in Neptune City, N.J., had about $32 million in sales in 1996. Central Garden will also acquire a related company, which it did not name, for $12 million in cash to be paid out over the next four years. It will also pay as much as $53 million in cash for Kaytee Products Inc. Central Garden said it expects the acquisitions to add to earnings this year. In its fiscal year ended Sept. 27, the company earned $17.6 million, or $1.08 a share, on revenue of $841 million. It is expected to lose 3 cents a share for the first quarter ending Dec. 28, according to analysts. Central Garden shares rose 63 cents to close at $28.63 on Nasdaq.