PHOENIX—PetSmart Inc., the largest specialtypet retailer in North America, said Sunday afternoon it had agreedto be taken private for $83 per share in cash, or approximately$8.7 billion including the assumption of debt. The consortium ofbuyers is led by London-based private equity firm BCPartners Inc. and also includes La Caisse de dépôtet placement du Québec and StepStone.

The largest private equity buyout of 2014 thus far, the salecomes after an auction process following a review of strategicalternatives that began last summer. At that time, activistshareholder Jana Partners disclosed a 9.9% stakein the Phoenix-based retailer and began pushing its board toexplore a sale.

The sale price of $83 per share reflects a 39% premium on theclosing price on July 2, the day before Jana disclosed its stake.Earlier this month, published reports said that the winning bidderwas likely to be Apollo Global Management, whichwould have paid $7.72 billion. Bloomberg reported Sunday that afinal offer from the BC-led group topped all the others.