Source: Chewy Inc.
Chewy, Inc. announced it will acquire SmartPak Equine, LLC (recently rebranded as SmartEquine) from Covetrus, Inc., expanding its presence in the equine health and wellness market. SmartEquine is a leading U.S. provider of equine supplements, personalized nutrition programs, and tack products. The acquisition will strengthen Chewy’s position in the high-margin equine segment, adding SmartEquine’s subscription-based model to Chewy’s logistics and customer platform.
Expected benefits include category expansion, recurring revenue growth, and higher customer lifetime value within an underserved market. The all-cash transaction, financed through Chewy’s existing balance sheet, is anticipated to close in Q4 of fiscal 2025, pending regulatory approvals, and is projected to be EBITDA margin accretive upon completion. Mita Malhotra, President of Chewy Health, said the partnership will enhance Chewy’s role as a trusted destination for the equine community. Chewy also reaffirmed its Q3 2025 financial outlook, first issued in September 2025.