Tractor Supply Company has agreed to acquire online pet and animal pharmacy Allivet, a deal the buyer says will expand its addressable market by $15 billion.

Allivet is licensed in 50 states with three distribution centers and provides next-day delivery.

“This acquisition enhances the benefits we can offer to our 37 million Neighbor’s Club members with an easy and cost-effective solution to obtain medications and specialty items for their pets and livestock,” said Hal Lawton, president and CEO of Tractor Supply.

“As part of Tractor Supply, we will accelerate our growth and innovation to continue to help pets live long healthy lives by making it easier for pet owners to care for them,” said Ujjwal Dhoot, CEO of Allivet.

The transaction is expected to close in the fiscal first quarter next year.

The acquisition announcement comes as Tractor Supply reports that its fiscal third-quarter net sales grew 1.6 per cent year over year to $3.47 billion, driven by new store openings.

Meanwhile, comparable store sales decreased 0.2 per cent.

“With nearly 50 per cent of our stores in Project Fusion layout and more than 550 garden centers, we continue to invest in our stores, supply chain and capabilities that build customer loyalty and elevate the standard for our sector,” said Lawton.

The company’s net income fell 5.3 per cent to $241.5 million.

For the full fiscal year, the company has raised its net sales guidance to between $14.85 billion and $15 billion and its net income forecast to between $1.09 billion and $1.12 billion.