EL7.AI
StocksMedium•3 November 2026•
3 min read

Scotts Miracle-Gro Completes Acquisition of Black Kow on October 29

Key Facts

1Scotts Miracle-Gro completed its acquisition of Black Kow on October 29.
2The company plans to launch organic blends for pots, raised beds and in-ground soil in fiscal 2027.
3Net sales were $1,172.1 million in the quarter ended June 27, 2026, up 1% year over year.
4The company raised its fiscal 2026 earnings-per-share outlook to $4.30–4.45, from $4.15–4.35.
5Scotts targets annual capital spending equivalent to 2.5–3.5% of net sales.

Scotts Miracle-Gro announced it completed its acquisition of Black Kow on October 29, a move the company says will expand consumer access to the brand’s products nationwide through its manufacturing and distribution network. The companies began a licensing partnership in January 2026 before the relationship moved to a completed acquisition. Scotts describes Black Kow as a leader in naturally composted cow manure and organic soil amendments. The closing announcement did not disclose the deal’s value. The company said the transaction is expected to improve its leverage ratio and contribute to sales and profit growth in its first year.

The announced product plan provides a clearer picture of what Black Kow will add to Scotts’ portfolio. In fiscal 2027, the company plans to launch ready-to-use organic blends for pots, raised beds and in-ground soil. It also intends to expand its single-ingredient soil amendment range. This will accompany broader access to the brand’s products through the national manufacturing and distribution network, according to the company’s announcement. Scotts links the deal to its SMG 2.0 growth plan, with new products and wider distribution as two announced paths to carry it out.

The company places the addition in the context of its recent financial performance. In the quarter ended June 27, 2026, net sales were $1,172.1 million, compared with $1,159.3 million in the quarter ended June 28, 2025, an annual increase of 1%. On July 29, Scotts raised its fiscal 2026 adjusted diluted earnings-per-share outlook from continuing operations to a range of $4.30–4.45, from a previous forecast of $4.15–4.35. When the results were announced, Chief Executive Nate Baxter said the company’s performance year to date was on track to meet the guidance it had provided at the start of the year. He added that the SMG 2.0 plan relies on expansion across channels, innovation and changing how the company engages with consumers.

The company’s capital allocation policy provides further context for assessing the acquisition. Scotts announced additional investments in technology, advertising and research and development, alongside a target for annual capital spending equivalent to 2.5–3.5% of net sales. The policy also includes low-risk tuck-in acquisitions and partnerships that support sales growth and are leverage-neutral or accretive. In this context, the company says the Black Kow deal is expected to improve leverage and support sales and profit growth in its first year. Announced execution is focused on expanding distribution and launching organic blends during fiscal 2027, while the closing announcement did not disclose the deal’s value.