The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for May 20, 2016
Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon DVM MBA
Brakke Consulting news
Animal Health Industry Overview webinar
Strategic planning
earnings news
Blue Buffalo
other news
Alivira Animal Health
Caribou Biosciences
CTX Technology
Nature’s Variety
Zoetis (Sileo)
Zoetis (Synovex)
MAY 25, 2016

Brakke Consulting, Inc. will present a two-hour webinar entitled “The U.S. Animal Health Industry” on Wednesday, May 25 from 11 am – 1 pm CDT.

Presented by senior consultants John Volk and Cary Christensen, DVM, the two-hour presentation will include a review of industry performance over the last year, comments on leading companies, plus current issues impacting industry and the veterinary profession. The webinar will also provide insights on factors affecting both the food animal market and companion animal market and key findings from several recent studies. The webinar is interactive; participants will have the opportunity to ask questions.

The cost of registering for the webinar is $385 per person. The deadline for registering is 12:00 pm CDT on Tuesday, May 24.

To register, go to and scroll down to the “What’s new” area, then click on the Webinar link. 
> Blue Buffalo Pet Products Inc. reported net income of $37 million in the first quarter of 2016, up 24%. Net sales in the first quarter were $280 million, up 12%. (
> Nutreco reported results for the full year 2015. Sales were EUR 5.7 billion ($6.5 billion), a 7.5% increase in revenues. Operating profits were EUR 282 million compared to EUR 236 million in 2014. (Animal Pharm)
> Zoetis announced the launch of Sileo (dexmedetomidine oromucosal gel) treatment to relieve anxiety in dogs who are averse to loud noises such as fireworks. (company press release)
> Zoetis announced the launch of Synovex One Feedlot and Synovex One Grass growth-promoting implants for cattle. Synovex One Feedlot and Synovex One Grass contain trenbolone and estradiol implants with a porous polymer film coating that lasts for up to 200 days. (Animal Pharm)
> Elanco Animal Health introduced Inteprity (avilamycin), a first-in-class, animal-use only, in-feed antibiotic developed for the prevention of mortality caused by necrotic enteritis associated with Clostridium perfringens in broiler chickens. (company press release)
> Aratana Therapeutics, Inc. announced the FDA’s Center for Veterinary Medicine has approved Entyce for appetite stimulation in dogs. Entyce is a ghrelin receptor agonist and is a first-of-its-kind therapeutic to treat inappetence in dogs. (company press release) 
> Zomedica Pharmaceuticals Corp. announced the completion of a research collaboration agreement that includes an exclusive worldwide animal health license option with CTX Technology, Inc. for their peptide-based skin penetration platform technology. The agreement grants Zomedica an option for an exclusive, worldwide animal health license; potential for jointly developed intellectual property; and the opportunity to receive milestone payments and/or royalties associated with aforementioned jointly developed intellectual property that impacts human field-of-use. ( 
> Genus plc and Caribou Biosciences, Inc. announced a multi-year strategic collaboration where Genus receives a worldwide, exclusive license to Caribou’s leading CRISPR-Cas9 gene editing technology platform in pigs, cattle and potentially other livestock species. (Business wire)
> JBS SA announced a corporate reorganization that includes spinning off its international businesses outside of Brazil and Seara into a new company called JBS Foods International, The new business will be headquartered in Ireland and listed on the New York Stock Exchange and BM&F Bovespa. JBS SA will be renamed JBS Brazil and will remain a publicly listed company on the BM&F Bovespa. (Feedstuffs) 
> Agrolimen announced it has acquired the remaining interest in Nature’s Variety, makers of Instinct Pet Food, by purchasing shares held by L Catterton and other shareholders. L Catterton made its initial investment in Nature’s Variety in 2008 and Agrolimen entered into a joint venture with L Catterton and other Nature’s Variety shareholders in July 2014. Financial terms were not disclosed. ( 
> EUROPE  India’s Alivira Animal Health announced it has acquired three businesses in Europe. The company has purchased N-Vet, a Swedish firm that partners with companies such as Norbrook Laboratories and Biopharm Australia to sell therapeutics and generics available in Sweden. Alivira has also purchased two divisons of the Fendigo business; one firm provides sales and marketing of veterinary pharmaceuticals and animal health products in Belgium and Luxembourg, while the other is focused on the Netherlands. The acquired businesses had collective revenues of $10 million. Financial terms were not disclosed. (Animal Pharm)

> US – JERKY TREATS The FDA provided an update on illnesses and deaths linked to pet jerky treats from China, indicating reports have waned in recent years, but cases continue to be reported, and owners should remain vigilant. The agency investigated over 200 reported illnesses linked to chicken, duck and sweet potato treats from China from September 2014 to December 2015. Since 2007, the agency has fielded some 6,200 reports of canine illnesses, and more than 1,100 dogs have died. There have also been reports of feline and human illnesses. (AVMA SmartBrief – FDA)

Brakke Consulting is an excellent resource for your company’s strategic planning. Some of the services we offer include:
– Reviewing revenue estimates and success probability of your product pipeline
– Reviewing the timing of various new product introductions
– Benchmarking various functions against company competitors in the larger markets

Through strategic planning, Brakke Consulting can help improve the likelihood of success for your company’s future endeavors.

Contact us for professional assistance in any of these areas.

A number of the stories this week involve nutrition technologies, products or revenues from operating companies. As consumers’ concern over the use of antibiotics in food animals expands, the same concern will be reflected in antibiotic use in pets. Several published studies indicate that pet owners expect care for their pets similar to their own health care. One can see this health care trend expanding in the pet food category where natural, organic etc. are following the trends in human food consumption and expectations. We are of the opinion that this will continue to expand in the consumers mind for the foreseeable future. Whether it is founded on solid science or not is not the issue. It is difficult to change consumer perception once it becomes established.

Have a great weekend!

Ron Brakke

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