The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for May 30, 2014
Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon DVM MBA
Brakke Consulting news
OTC Channel
earnings news
other news
Boehringer Ingelheim Vetmedica
Hillshire Brands
Pilgrim’s Pride
Royal Canin
Select Sires
Sire Lodge
Tyson Foods
VGX Animal Health

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> Krka reported financial results for the first quarter of 2014. Animal health product sales were EUR 10.9 million ($14.9 million), unchanged from the comparable period in the prior year. (Animal Pharm)   
> Boehringer Ingelheim Vetmedica, Inc., announced the launch of ULTRA Fel-O-Vax, the first ½ mL vaccine line for cats. The ULTRA Fel-O-Vax vaccine line is available in core and non-core combinations. (company press release) 
> Royal Canin introduced Genetic Health Analysis, a test that identifies specific canine breed makeup as well as genetic markers that point to possible health conditions that may arise in the future. (DVM360) 
> Inovio Pharmaceuticals, Inc. announced that its 90%-owned subsidiary, VGX Animal Health, Inc., has concluded an agreement for the sale of its animal health assets to Plumbline Life Sciences, Inc. of Korea. The assets being transferred include an exclusive license with Inovio for animal applications of its growth hormone-releasing hormone (GHRH) technology and animal DNA vaccines plus a non-exclusive license to Inovio electroporation delivery systems. VGX Animal Health will receive $2 million in cash in multiple payments and 20% of the outstanding shares of Plumbline. (Marketwatch) 
> PuriCore introduced NovaZo Hydrogel, a hydrogel wound dressing for use in companion and large animals of all species. (DVM360) 
> Pilgrim’s Pride Corporation announced a proposal to acquire The Hillshire Brands Company for $45.00 per share in cash, in a transaction valued at $6.4 billion. Later in the week, Tyson Foods, Inc. announced its own offer to acquire The Hillshire Brands Company for $50.00 per share in cash. (Feedstuffs) 
> Select Sires has reached an agreement to purchase GenerVations Inc. artificial insemination organization and its bull housing and production facility, Sire Lodge Inc. Financial terms were not disclosed. (Feedstuffs)
>  US – PEDV   An Indiana farm has suffered a second bout of porcine epidemic diarrhea virus, a disease that had been thought to confer immunity once it attacked a herd, protecting farms against additional outbreaks. Ten percent of the US swine population has been wiped out by the virus, and indications that the virus can re-infect herds suggest higher losses could occur and the outbreak may be harder to stop than previously thought. (AVMA SmartBrief – Reuters)
> The UN Food & Agriculture Organization (FAO) and the World Organization for Animal Health (OIE) have pledged to step up their existing collaboration to control animal disease, ensure the safety of food from animal origin and promote safe trade. The two organizations said they would reinforce their partnership in priority areas that include joint response to animal health crises and programs to prevent and control foot and mouth disease, peste des petits ruminants, African swine fever, rabies, zoonotic influenza and antimicrobial resistance. In cooperation with the World Health Organization (WHO), FAO and OIE said they plan to focus on monitoring the responsible use of antimicrobial and pharmaceutical products. They will also work to strengthen national veterinary systems. (Feedstuffs)
This being a short business week, the newsletter is also shorter than normal with industry news. I’ve been traveling in the Midwest the past two weeks and have found the weather pleasant with most areas in need of some additional rain. Nearly all of the crops are planted and waiting for warm weather and rain.

As reported in various publications, 2014 has started off slow because of difficult weather the first quarter. It appears that April and May will be good months in the companion animal area. However, the cattle and swine markets are challenging because of reduced numbers of animals. In general those that we’ve visited with the past two weeks are optimistic regarding 2014 but share general concerns over whether lost sales in the first quarter will be recovered.

Have a great weekend!! It appears that Summer is finally here!

Ron Brakke
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