The Allflex Group, a livestock identification and tracking technology company owned by a BC Partners private equity fund, is set to acquire SCR, a dairy livestock monitoring company, for $250 million.
Allflex is owned by BC European Capital Fund IX, a buyout fund which closed on $6.68 billion in 2011. It acquired Allflex in 2013.
It is the only agri-related company in the fund’s portfolio although previous BC Partners funds have had exposure to agri. In 1994 a BC fund acquired Nutreco, the fish and animal feed company that was listed in 1997 and is now the subject of a bidding war to take it private; Cargill is understood to be considering a sole bid for the company after its joint bid with private equity firm Permira was rejected.
The firm’s funds have also owned Devro, a collagen sausage casings company, and Aviagen, a poultry company.
Allflex will acquire 100 percent of SCR in a deal that will bring together different sets of expertise in livestock technology: SCR has been developing monitoring technologies for dairy cows, sheep and goats since 1976, while Allflex has been working on animal identification and tracking tags, using visual, electronic and tissue sampling identification technology, for 50 years.
Livestock monitoring technology attracted investment earlier in the year from the venture capital industry when a UK syndicate led by Scottish Equity Partners, invested £3 million ($4.9 million; €3.6 million) into Silent Herdsman, a UK firm producing digital behaviour-monitoring collars for cattle and advanced analytics software to assess bovine fertility cycles.
SCR is headquartered in Israel and has offices in the US, Europe, China and a presence in South America. Its technologies are used to monitor over 13 million cows today.
Allflex is a UK firm with production facilities in Europe, North America, South America, China, Australia and New Zealand.
“SCR is a truly unique company that shares several similarities with Allflex,” said Jean-Baptiste Wautier, managing partner at BC Partners, in a statement. “The Company has demonstrated exceptional growth over the past few years driven by SCR’s strong technological expertise and the growing need for productivity gains for dairy farmers.”