PE Firms Drive Vet Industry Consolidation as Prices Soar, FT Says
- Editor
- Jan 25
- 2 min read
What's Happening: The Financial Times reports that private equity firms and large corporations are rapidly consolidating the veterinary care industry, coinciding with dramatic price increases for pet medical services in both the US and UK.
Why It Matters:
Consumer Impact: Pet owners are facing significantly higher costs for basic veterinary care, with some routine procedures now costing more than human healthcare
Industry Transformation: The shift from independent practices to corporate ownership is fundamentally changing how veterinary care is delivered
Regulatory Attention: The trend has attracted scrutiny from competition regulators concerned about market concentration
The Key Moves:
Rapid Consolidation: Major PE firms and corporations are aggressively acquiring independent veterinary practices
Scale Building: Recent merger between Southern Veterinary Partners and Mission Veterinary Partners created an $8.6 billion group
Market Dominance: Large chains now control up to 30% of US practices and nearly two-thirds of UK clinics
By The Numbers:
Cost Surge: UK veterinary costs up 50% since 2015; US prices increased 60% in past decade
Market Growth: US pet services spending expected to reach $112 billion by 2030, up from $48 billion in 2019
Corporate Control: PE firms control 75% of specialty clinics in the US
Key Players:
JAB/National Veterinary Associates: Major consolidator facing regulatory scrutiny
Mars Veterinary Health: Controls 3,000 vet practices globally
IVC Evidensia: EQT-backed group owns over 2,500 clinics, mainly in Europe
Key Quotes:
Industry Perspective: "We've gone from a dog in the yard, to dog in the house, to dog in the bed" - David Steinberg, Marlowe Partners
Independent View: "My experience has been that if we had a corporate takeover, it costs my clients more and the quality of medicine goes down" - Michael Marmesh, independent vet
The Wrap: The private equity-driven consolidation of veterinary care represents a fundamental shift in how pet healthcare is delivered and priced. While the industry argues that higher costs reflect improved care and changing consumer expectations, regulators and independent practitioners worry about reduced competition and corporate pressure to maximize profits.
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