The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for June 8, 2012
Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon DVM MBA
Brakke news
Industry Roundtable
other news
Antelope Valley Bios
Malaysian Technopia
Pfizer (Cerenia)
Pfizer (spinoff)
PT Technopia Jakarta
Texchem Resources
Vets First Choice
JUNE 20, 2012

Brakke Consulting and Stinson Morrison Hecker LLP will hold the first Animal Health Breakfast Roundtable in Kansas City on June 20.  The Roundtable will feature Ron Brakke and Susan Warren, both from Brakke Consulting, who will highlight pertinent news and developments over the last six months that could affect the industry.
The program will begin at 8 a.m. at 1201 Walnut Street, Suite 2900. There is no charge, but you must register to attend. The deadline for online registration is June 13. To register online, go to
> Pfizer announced it is spinning off its animal health business into a separate company that will be called Zoetis (Zoe-EHT-iss). The company is preparing to submit a regulatory filing for a possible initial public offering of a minority stake in the new company. (Wall Street Journal)
> Pfizer announced that the FDA approved a label update for Cerenia (maropitant citrate) Injectable Solution to include the treatment of vomiting in cats older than 16 weeks.  The product was previously approved for use in dogs. (Vet Advantage) 
> GenVec, Inc. announced that the USDA’s Animal and Plant Health Inspection Service (APHIS) has issued a conditional license for GenVec’s foot-and-mouth disease (FMD) vaccine for use in cattle. APHIS issued the conditional license to Antelope Valley Bios, Inc., who manufactured the vaccine under a contract from GenVec. This is the first FMD vaccine licensed by the USDA Center for Veterinary Biologics. In a related, but separate effort, GenVec has licensed to Merial the rights to develop and commercialize GenVec’s proprietary vaccine technology for use against foot-and-mouth disease in cattle. (PRNewswire)
> Vets First Choice announced that it closed a $4 million financing led by new investor Polaris Venture Partners. Also participating were several existing investors. The new investment will support the company’s continued growth and expansion in the veterinary services and home delivery space following the acquisition of VetCentric earlier this year. (Business Wire) 
> Webster Veterinary announced a new online service for equine practices called EquiHealth. This innovative communications platform provides veterinarians with a secure Internet portal for their clients to access equine medical information plus descriptive, easy-to-understand resources and educational materials with 3D graphics. (company press release)
> ASIA   Fumakilla announced two recent acquisitions in southeast Asia from the same holding company. It has acquired 70% of Malaysian Technopia (with sales of RM139 million ($42.5 million)) and  PT Technopia Jakarta (with sales of IDR92.12 billion ($10 million)) from Texchem Resources, which is based in Malaysia.  In addition, it has an agreement with Texchem Resources to set up a joint venture business once the current acquisitions are completed, to expand its insecticide business further in the Asia region. Financial terms were not disclosed. (Animal Pharm) 
> US – ANTIBIOTICS BAN   The FDA Commissioner, Director of the Center for Veterinary Medicine and HHS Secretary have filed an appeal in an attempt to overturn a judge’s decision to force the FDA to ban three antibiotics in animal feed. The antibiotics — one penicillin and two tetracyclines — were targeted for removal from animal feed in a 1977 FDA statement that was never enacted. Five nonprofit organizations recently initiated legal action to spark the FDA to follow through on that statement. (AVMA SmartBrief – 
> CAMBODIA – AVIAN INFLUENZA   Cambodian veterinary authorities have reported an outbreak of highly pathogenic avian influenza affecting local chicken and ducks. Out of 1304 susceptible birds, 564 cases were reported after the birds were found dead. (
> US – ANIMAL WELFARE   McDonald’s USA has set a goal to obtain all pork for its US business from producers that do not use gestation stalls by the end of 2022. As an interim step, by 2017 McDonald’s will seek to source pork for its US business only from producers who share its commitment to phase out gestation stalls. (Vet Advantage)
AUGUST 28, 2012
The KC Animal Health Corridor is now accepting applications for the fourth annual KC Animal
Health Investment Forum in Kansas City, Missouri. 
The forum will showcase animal health and nutrition companies from throughout the world. 
The selection committee will consider companies that meet the following criteria:
•         Seeking $500,000 to $20 million in funding
•         Revenue projections of $20 million within five to seven years
Applications must be submitted by June 22, 2012.  All companies will be contacted by July 27 regarding their acceptance. Apply online at . For questions, email Kimberly Young at or call 816.374.5627.
There are a couple of news items this week that we believe are very important to the industry. The first is the Animal Health Investment Forum in Kansas City. If you’re a small firm or individual seeking financing for your new business or technology, we encourage you to make an application for a presentation. The industry needs innovation and there are firms willing to finance those with new technologies and concepts.

The second is the announcement on Thursday by Pfizer corporate that the registration process for spinning the animal health business out into a separate business is in full swing. The new company will be named Zoetis. Over the coming months we’ll learn more about the number of shares that will be sold to the public in the offering and other details. It will be interesting to follow this activity over the coming months and see if this action creates similar interests on the part of other large pharmaceutical companies. Will we see more stand-alone animal health companies in the future?
We look forward to seeing some of you in Kansas City on June 20th for our Roundtable reviewing the state of the industry during the first few months of 2012. Sign up now, the price is right!!

Have a great weekend!!

Ron Brakke
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Dallas, TX  75234    USA


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