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Brakke Consulting’s
Animal Health News & Notes for January 5, 2018
Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting news
Distributor Effectiveness Study – NOW AVAILABLE
2018 Industry Overview
Market research
earnings news
Avivagen
other news
ADL BioPharma
Advanced Veterinary Laboratory
Advaxis
Agri-Marketing Corp
Animal Supply Company
Aratana
Aventix
Biogal Galed Labs
Bionaturis
Blue Buffalo
Cargill
Celsee
Community Veterinary Partners
Creso Pharma
Dechra
DNA Genetics
Eco Shell
Epicore
eVetPractice
Fujita Pharmaceutical
Henry Schein
Holistic Hound
ImmuCell
Jackson Laboratory
Kaketsuken
Kemin
Kunna Canada
Meiji Seika
Neovia
New Hope Group
Nippon Soda
Petcube
PetVet Care Centers
Prana Pets
Pro-Pet
Real Pet Food
Recombinetics
RxVet
Techlab
The Pet Firm
TyraTech
Vetstream
Virbac
Zoetis (Rapid Resp 3)
Zoetis (Nippon Soda)
Zomedica
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BRAKKE CONSULTING, INC.
INDUSTRY OVERVIEWS AT VMX AND WVC
REGISTRATION FOR VMX OVERVIEW IS NOW OPEN
Brakke Consulting is pleased to announce the 2018 Industry Overview. The 2018 US Animal Health Industry Overview will be presented twice this winter – once at the VMX (formerly NAVC) in Orlando, Florida and once at the Western Veterinary Conference in Las Vegas, Nevada. These dates are:
• VMX: Monday, February 5, 2018, 2:00 – 4:00 pm, Rosen Plaza Hotel
• WVC: Tuesday, March 6, 2018, 2:00 – 4:00 pm, Four Seasons.
Registration for the VMX Industry Overview is now open; registration for the WVC Industry overview will open in January. Seating is limited this year, so register early!
To register, go to www.brakkeconsulting.com and scroll down to the “What’s New” box. The price is $400 per person for online registration; late registration is $450.
www.BrakkeConsulting.com
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COMPANY EARNINGS RELEASES
• Avivagen Inc. reported its audited financial results for the year ended October 31, 2017. The Company reported revenues of C$255,660 and a comprehensive loss from continuing operations of C$(5,045,645) for the year ended October 31, 2017. (company press release)
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BRAKKE CONSULTING, INC.
DISTRIBUTOR EFFECTIVENESS STUDY
NOW AVAILABLE
Distributors play an important role in the sales, marketing and supply chain for the companion animal practices they serve. Brakke Consulting’s 2017 Brakke Distributor Effectiveness Study (DES) helps subscribers understand how distributors are viewed by veterinarians on both a national and regional level, enabling both distribution and manufacturer companies make better decisions.
The 2017 DES includes data on companion animal veterinarian purchasing habits; inferred distributor market shares; and distributor ratings on company attributes, field sales representative attributes, and inside sales representative attributes. Nearly a dozen national and regional distributors are evaluated on over 50 company and sales rep attributes.
The cost of the study is $34,900. For a detailed prospectus or other information, contact Bob Jones at bob@rwjcllc.com or Lynn Fondon at Lfondon@brakkeconsulting.com or or call 972-243-4033.
www.BrakkeConsulting.com
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COMPANY NEWS RELEASES
• Zoetis announced that Vanguard Rapid Resp 3, an intranasal vaccine targeting three canine infectious respiratory diseases, has earned a one-year duration of immunity claim from the USDA. (company press release)
• Aratana Therapeutics, Inc. announced the USDA Center for Veterinary Biologics granted conditional licensure for Canine Osteosarcoma Vaccine, Live Listeria Vector (AT-014) for the treatment of dogs diagnosed with osteosarcoma, one year of age or older. The vaccine is a novel immunotherapy developed by Aratana using a listeria based antigen delivery system licensed from Advaxis, Inc. (company press release)
• Henry Schein Inc. announced it has acquired eVetPractice, a provider of cloud-based practice management solutions to veterinary clinics. eVetPractice serves approximately 900 customers in the US. Financial terms were not disclosed. (VeterinaryPracticeNews.com)
• ImmuCell Corporation announced the closing of a previously announced underwritten public offering of 417,807 shares of common stock at a price to the public of $7.30 per share. The net proceeds from the offering were approximately $2.7 million. (company press release)
• Biogal Galed Labs announced an exclusive distribution agreement with Aventix for the US market for the in-clinic diagnostic kits VacciCheck and PCRun. (company announcement)
• Zomedica Pharmaceuticals Corp. announced it has entered into a license and supply agreement with Celsee Inc. Under the terms of the agreement, Zomedica will have animal health exclusive global rights to develop and market Celsee’s liquid biopsy platform for use by veterinarians as a cancer diagnostic. (VeterinaryPracticeNews.com)
• Cargill announced an agreement to acquire Pro-Pet, a manufacturer of private label and co-manufactured pet foods, including premium dog food brand Black Gold. Financial terms were not disclosed. (World-grain.com)
• Techlab, Inc., announced that it will supply Advanced Veterinary Laboratory (AVL) with the Giardia Vet Chek test, the first USDA-licensed Giardia microwell ELISA available for use in dogs and cats. (PRNewswire)
• TyraTech announced that it has divested its human lice products brand Vamousse to UK company Alliance Pharma for an initial cash consideration of $13 million in order to dedicate its business to the animal health industry. (Animal Pharm)
• Recombinetics and swine breeding company DNA Genetics announced an alliance to end surgical castrations by developing precision breeding technology that results in male piglets born naturally castrated. Scientists at Recombinetics have developed a precision breeding method resulting in male piglets that remain in a pre-pubertal state, which eliminates the need for castration, either surgical or medicinal. (National Hog Farmer)
• KKR & Co. announced it will acquire PetVet Care Centers LLC from L Catterton, Ontario Teachers’ Pension Plan and other minority owners. PetVet works with specialists and general veterinarians through a network of 125 locally-branded hospitals across 22 states. Financial terms were not disclosed. (Themiddlemarket.com)
• Community Veterinary Partners announced it has grown by seven locations, to 42, with the acquisition of practices in Indiana, North Carolina and Virginia. Financial terms were not disclosed. (Vet Advantage)
• Animal Supply Company (ASC) announced it has acquired exclusive rights to distribute the entire line of cannabidiol (CBD) products from Holistic Hound. The Holistic Hound line of veterinarian-formulated CBD and mushroom treats and CBD oils is derived from organic hemp grown in the USA. (PetBusiness)
• Eco Shell Inc. announced it has completed an agreement with Blue Buffalo Company, Ltd. to assume the rights to market Naturally Fresh Cat Litter effective Jan. 2, 2018. Since 2012, Blue Buffalo has marketed the premium all-natural litter. The Pet Firm, an Acosta company in Phoenix, had been appointed as Eco Shell’s national sales partner to the pet industry. (Pet Product News)
• Prana Pets announced it has developed a cannabidiol (CBD) oil for pets. (PetBusiness)
• Creso Pharma announced it has purchased Kunna Canada and its wholly-owned Colombian subsidiary for up to $7.15 million. The deal is made up of shares to be issued at Aus$1.10 ($0.86) each, up to $1 million in performance shares and a $250,000 exclusivity option payment. The deal gives Creso direct exposure to the Colombian market. (Animal Pharm)
• Petcube announced it raised $10 million in Series A funding to expand new product development, marketing, and sales distribution. (Pet Product News)
• Neovia announced it will acquire 100% interest in Epicore, a North American company specialized in the manufacture of larval feed and probiotics on the global aquaculture market and, more specifically, shrimp. Financial terms were not disclosed. (Feed enews)
• The Jackson Laboratory (JAX) announced it has launched a research program to create a biobank of dog tumors for sharing with researchers worldwide, with the goal of offering new insights into cancer in humans and dogs. JAX said its new Tallwood Canine Cancer Research Initiative will use donated tumor samples to create patient-derived xenograft (PDX) cancer models that will be used for ongoing cancer research programs and be offered to researchers worldwide. (Genengnews.com)
• JAPAN Zoetis announced it has sold its plant health operations, which was selling forest protection agents and agricultural chemicals in Japan, to Nippon Soda. Financial terms were not disclosed. (Animal Pharm)
• JAPAN Virbac announced a distribution agreement with Fujita Pharmaceutical wherein Virbac will distribute Fujita’s Moxiheart chewable (moxidectin) in Japan. (Animal Pharm)
• JAPAN Meiji Seika announced it has purchased a 49% stake in a new succession company formed by the Chemo-Sera-Therapeutic Research Institute (Kaketsuken). This new business includes vaccines for both human and veterinary use, as well as blood plasma products. (Animal Pharm)
• NEW ZEALAND Dechra announced it has acquired local business partner RxVet. Dechra has worked with RxVet since it was established in 2010 to grow the former’s coverage in New Zealand. Currently, Dechra products account for 58% of the RxVet portfolio. RxVet has annual revenues of NZ$1.9 million ($1.3 million). (Animal Pharm)
• CANADA Kemin Industries announced the creation of a Canadian division following its acquisition of the assets of Agri-Marketing Corp., its longtime distributor. The new Kemin location will focus on serving the animal nutrition and health market as well as the pet food and rendering industries. (Feedstuffs)
• AUSTRALIA Chinese agribusiness company New Hope Group Co., along with other Asian investors, announced it has acquired Australia-based Real Pet Food Co. Financial terms were not disclosed. (PetFoodIndustry)
• EU Vetstream announced that the Danish Small Animal Veterinary Association (DSAVA) and the Polish Small Animal Veterinary Association (PSAVA) have entered an agreement with veterinary digital specialist Vetstream which will enable their members to benefit from significantly discounted access to Vetlexicon’s digital point-of-care companion animal services. (company press release)
• SPAIN Bionaturis announced it is merging with fellow Spanish business Antibióticos de León (ADL BioPharma), a specialist in industrial bioprocessing. The merged entity will develop and commercialize high-value fermentation-based bioproducts. ADL’s shareholder will hold 85% of the entity resulting from integration, and the current shareholders of Bionaturis will hold 15%. (Animal Pharm)
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ANIMAL HEALTH NEWS
• RUSSIA – AVIAN INFLUENZA Russia has reported an outbreak of highly pathogenic H5N2 avian influenza on a farm in the central region of Kostromskaya Oblast that led to the death of more than 660,000 birds. The virus killed more than 44,000 birds in an outbreak first detected on Dec. 17, with the rest slaughtered as a precaution. (Reuters)
• US – VFD CLARIFICATION The FDA has released a new document that provides assistance with the appropriate selection and use of approved VFD free-choice medicated feed for the control of active infection of anaplasmosis in cattle. The document can be read at https://www.fda.gov/AnimalVeterinary/DevelopmentApprovalProcess/ucm589933.htm. (FDA)
• US – FOUNDATION CHANGES The American College of Veterinary Internal Medicine Foundation, as part of its planned dissolution, has selected Morris Animal Foundation to receive the ACVIM Foundation’s remaining funds ($423,950.55) to invest in animal health research. Grants awarded with these funds will recognize the contribution of ACVIM members and ACVIM Foundation donors. (AVMA.org)
• EU – REGULATORY GUIDANCE The European Medicines Agency (EMA) has introduced its first guidance on monoclonal antibodies. The guidance, prepared in a question-and-answer format, can be found at http://www.ema.europa.eu/ema/index.jsp?curl=pages/regulation/general/general_content_001018.jsp&mid=WC0b01ac05809f3f1a. (Animal Pharm)
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BRAKKE CONSULTING, INC.
MARKET RESEARCH SERVICES
Depend on Brakke Consulting to build a market study to meet your company’s needs, whether it is:
• Assessing the feasibility of a new product or technology
• Identifying the opinions and trends of veterinarians, pet owners or producers
• Determining the current market for products
With our in-house database of veterinarians and the ability to custom-tailor surveys of a wide variety of target audiences, we provide reliable insights into this unique industry. We also produce multiclient reports in a number of high-interest animal health market areas. For more information, see our website or call our Dallas office at 972-243-4033.
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BRAKKE CONSULTING VIEWPOINT
Happy New Year! We hope each of you had an enjoyable holiday season. Now it is back to work and we hope you’re off to a great start for 2018.
You will see in the newsletter the announcement of our 2018 Animal Health Industry Overview. We encourage each of you to register for this event held on Monday February 5th during VMX. This year’s overview will feature new sections on companion animal clinic consolidation and the rapidly growing diagnostic market. Consolidation has profound implications for manufacturers, distributors and even independent veterinary practices. Brakke Consulting has been involved with a number of the clinic consolidation transactions so we have insights and perspectives from both the investor and sellers points of view. Diagnostics is one of the major growth areas in companion animal medicine. We will also provide an update on how well practices performed in 2017.
The Overview features a number of the trends that could impact your business in 2018 and beyond. We believe this two hour presentation will provide you and your managers with valuable perspectives for 2018 business plans.
See you in Orlando at VMX in a month and have a great weekend!
Ron Brakke
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Brakke Consulting, Inc.
12005 Ford Rd., Suite 530
Dallas, TX 75234 USA
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