Company Coverage
i-Tail Corporation (ITC TB): The Acquisition Of Phelps
BUY (Maintained)
Current price:
Target price:
Upside:
Bt17.10
Bt22.00
28.65%
Analyst
Highlights
- ITC announced the acquisition of Phelps, which is a US-based manufacturer and distributor of pet food products.
- We view the acquisition positively for ITC’s long-term US business, attributable to commercial expansion and operational synergies.
- Maintain BUY with a target price of Bt22.00.
Analysis
- The acquisition of Phelps. i-Tail Corporation (ITC) announced the acquisition by i-Tail Americas, Inc, a wholly owned subsidiary of ITC, of all issued and outstanding shares of Pet Treat Holdings, Inc (PTH). As a result, PTH and its wholly owned operating subsidiary, Phelps Industries (Phelps), become indirect wholly owned subsidiaries of ITC. The transaction amount is of US$160m (approximately Bt5.3b). The acquisition was funded by ITC’s working capital and proceeds from IPO. The transaction was completed on 22 Oct 26.
- Phelps’s company business. Phelps is a US-based manufacturer and distributor of pet food products, specialising in dog treats, particularly jerky-style sticks, strips, and tenders.
- Phelps’ revenue is derived from three segments: a) core private label products, accounting for 58% of total revenue, b) private-label brands, contributing 41%; and c) own brands, representing the remaining 1%. The company operates two manufacturing facilities in the US, located in Rockford and Janesville, with an estimated capacity utilisation rate of around 50%.
- Phelps generated revenue of US$57.6m and US$70.3m in 2024 and 2025, respectively. Gross profit margin in 2024-25 was approximately 16.4%. Net profit margin was at 6.6% in 2025.
Highlights
- ITC announced the acquisition of Phelps, which is a US-based manufacturer and distributor of pet food products.
- We view the acquisition positively for ITC’s long-term US business, attributable to commercial expansion and operational synergies.
- Maintain BUY with a target price of Bt22.00.
Analysis
- The acquisition of Phelps. i-Tail Corporation (ITC) announced the acquisition by i-Tail Americas, Inc, a wholly owned subsidiary of ITC, of all issued and outstanding shares of Pet Treat Holdings, Inc (PTH). As a result, PTH and its wholly owned operating subsidiary, Phelps Industries (Phelps), become indirect wholly owned subsidiaries of ITC. The transaction amount is of US$160m (approximately Bt5.3b). The acquisition was funded by ITC’s working capital and proceeds from IPO. The transaction was completed on 22 Oct 26.
- Phelps’s company business. Phelps is a US-based manufacturer and distributor of pet food products, specialising in dog treats, particularly jerky-style sticks, strips, and tenders.
- Phelps’ revenue is derived from three segments: a) core private label products, accounting for 58% of total revenue, b) private-label brands, contributing 41%; and c) own brands, representing the remaining 1%. The company operates two manufacturing facilities in the US, located in Rockford and Janesville, with an estimated capacity utilisation rate of around 50%.
- Phelps generated revenue of US$57.6m and US$70.3m in 2024 and 2025, respectively. Gross profit margin in 2024-25 was approximately 16.4%. Net profit margin was at 6.6% in 2025.
BUY (Maintained)
Current price:
Target price:
Upside:
Bt17.10
Bt22.00
28.65%
Analyst
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