Pethealth expands brand in Western Canada

PetCare Insurance Brokers, a subsidiary of Pethealth Inc. (CDNX: PTZ), will soon be marketing its pet insurance products through Petcetera’s stores and Internet site. In a deal involving the acquisition of certain assets of Western pet insurer PAWS Health Plans Inc., Petcare will have exclusive rights to provide pet insurance to B.C.-based Petcetera’s customers. The agreement is in place for three years and subject to renewal.
Petcetera has 32 locations selling pet-related products and services, as well as an online store. PetCare will also institute a direct marketing campaign to members of Petcetera programs.
In exchange PAWS receives 278,571 shares of common stock in Pethealth, at a price of $0.36 per share. The deal is subject to approval by the Canadian Venture Exchange.
At the same time, Pethealth announces a deal with publisher Transcontinental Media to be exclusively endorsed by its consumer magazines, including Canadian Living, and to market directly to readership. The campaign is set to begin this fall. Pethealth had reached a similar agreement with Reader’s Digest last year.
Both moves are part of the company’s strategy to align itself with consumer publications and pet stores throughout North America.