The Experts in Animal Health

Brakke Consulting’s
Animal Health News & Notes for December 13, 2019
Copyright © Brakke Consulting

Editor: Lynn Fondon DVM MBA


Brakke Consulting News

2020 Industry Overview at VMX & WVC register now
2019 US Flea & Heartworm Control Markets report now available!

Earnings News


Other News

Acrew Capital
Animal Friends
Animal Health International
Aurora Pharmaceutical
Bayer (Elanco)
Bayer (Neptra)
BioNexus KC
Bob Martin Healthcare
Butterfly Network
Daiichi Sankyo
DS Pharma Animal Health
Gryphon Investors
Heartland Veterinary Partners
Kindred Biosciences
Klox Technologies
Lyka Pet Food
MS Biotech Holdings
Paine Schwartz Partners
Patterson Companies
Petabyte Technology
Pets Choice
Rover’s Pet
Scholtus Special Products
Teeling Petfood
Texas Vet Lab
Warburton Technology


Announcing the 2020 Brakke Industry Overview

Presented at VMX: Tuesday January 21, 2020, 2-4 pm, Hyatt Regency Plaza Int’l I

Presented at WVC: February 18, 2020, 2-4 pm, Four Seasons Hotel, Acacia Ballroom

What do industry consolidation, CBD and African Swine Fever have in common?  They are all important topics covered in Brakke Consulting’s annual Industry Overview presented at VMX and WVC in early 2020.

2019 was an especially newsy year, and many events have long-range implications for the animal health industry.  Key topics and presenters include:

  • Industry performance and a special analysis of the public companies in animal health (Dr. Bob Jones and Randy Freides)
  • Vet practice consolidation, CBD, monoclonal antibodies and other new companion animal technologies (John Volk)
  • Disruptive technologies and the changing landscape of the diagnostics industry (Dr. Mike McGinley)
  • African Swine fever, plant-based meat and milk products and their impact on protein and animal health product demand (Dr. Cary Christensen)

This information-packed 2-hour session will be especially valuable for executive leadership, sales and marketing, strategy and finance managers.

Sign up today using this link, or email Amanda McDavid or call her at 336-396-3916.  Pre-registration cost is $400; there are discounts for multiple attendees from the same company.  We look forward to seeing you there!



  • Chewy, Inc. announced financial results for the third quarter of fiscal year 2019 ended November 3, 2019. Net sales were $1.23 billion, an increase of 40% year-over-year. Net loss was $(79.0) million, including a non-cash share-based compensation charge of $39.3 million. Adjusted EBITDA loss was $(30.2) million, an improvement of 56% year-over-year. (company press release)


Are you on top of the trends in the largest market segment in companion animal health?  Brakke Consulting has now published our 2019 report on the US Flea Control and Heartworm Markets.

The report includes valuable information on the US market for small animal parasiticides including:
– Product descriptions, prices (veterinarian cost and online pricing), and sales for the leading veterinary flea, tick and heartworm products
– an overview of the veterinary and OTC flea control markets
– discussion of new flea and heartworm products, including CORAXIS, MILBEGUARD, PROHEART 12, and soon-to-be-launched products including BRAVECTO PLUS, SELARID, AND SIMPARICA TRIO.

– 2019 survey of 390 veterinarians
– 2019 survey of 500 pet owners

The report on the US Flea Control & Heartworm Markets is available immediately for a purchase price of $7,750.  Please contact Dr. Lynn Fondon at 336-396-3916 or to order the report, or for more information.



  • Elanco Animal Health Incorporated announced it has received a second request for information from the U.S. Federal Trade Commission (FTC) in regards to its previously announced acquisition of Bayer’s animal health business. The request was anticipated as part of the regulatory process under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and the review continues to progress as expected. (company press release)
  • The Association of American Veterinary Medical Colleges (AAVMC) announced it has joined forces with Merck Animal Health (MSD Animal Health) on an international grant program designed to mitigate global health concerns surrounding antimicrobial resistance (AMR). Administered through the AAVMC’s Council on International Veterinary Medical Education (CIVME), the MSD Animal Health CIVME Antimicrobial Stewardship Grant program seeks to improve AMR instructional programs in educational institutions around the world. (Veterinary Practice News)
  • Vetoquinol A. and Klox Technologies Limited announced they have entered into an exclusive global licensing agreement, excluding the People’s Republic of China. Through this agreement, Vetoquinol will develop and commercialize Klox’s fluorescent light energy (FLE) products in animal health. The FLE technology has applications in multiple common companion animal skin conditions presented to veterinarians; the first product for skin application is expected to come to market during 2020. (
  • Patterson Companies announced the resolution of an investigation into its Animal Health International business regarding the company’s sales of prescription animal health products to persons and/or locations not licensed to receive them. Under the terms of an agreement with the US government, Animal Health International will pay a $52.8 million fine and plead guilty to a strict-liability misdemeanor offense under the Federal Food, Drug and Cosmetic Act. (Animal Pharm)
  • A Judicial Panel on Multidistrict Litigation consolidated 35 lawsuits, comprising approximately 300 named plaintiffs, against Hill’s Pet Nutrition into a single federal legal action. The now-unified lawsuits related to the January 2019 recall of 25 varieties of Hill’s canned dog food due to elevated levels of vitamin D in the products. (Petfood Forum)
  • Bimeda announced the acquisition of Texas Vet Lab, Inc (TVL). TVL specializes in bovine vaccine research and production, with a broad range of live and inactivated vaccines to protect against cattle respiratory diseases. Financial terms were not disclosed. (company press release)
  • Kindred Biosciences announced an agreement with Butterfly Network to market Butterfly’s handheld veterinary ultrasound device. KindredBio sales representatives will market the Butterfly iQ Vet to veterinarians in the US alongside the firm’s own companion animal therapeutics. (Animal Pharm)
  • Aurora Pharmaceutical announced that the FDA has approved their exclusive vented draw-off dosing cap for its Altren (altrenogest) Solution 0.22%. This eliminates the inconvenience of the bottle developing a vacuum during syringe filling and adds an additional level of safety to the altrenogest product line. (company press release)
  • PetIQ, Inc. announced that in November, the Company opened 34 new wellness centers for a total of 60 wellness centers across 22 states year-to-date. The Company remains on-track to achieve its stated plan for 80 new wellness center openings in 2019. (company press release)
  • Paine Schwartz Partners announced that it is establishing an Animal Health & Nutrition investment platform (AH&N) with a strategic investment through its Paine Schwartz Food Chain Fund IV in Warburton Technology, Inc., a leading producer of trace-mineral injections for cattle and the owner and developer of Multimin 90. The AH&N platform will also include MS Biotech Holdings, in which Paine Schwartz initially invested in October 2018. Financial terms of Paine Schwartz’s investment in Warburton Technology were not disclosed. (company announcement)
  • Gryphon Investors announced it has made a majority investment in Heartland Veterinary Partners. Heartland partners with nearly 100 companion animal veterinary practices in the mid-American and southern US.  Financial terms were not disclosed. (PEHub)
  • Petabyte Technology announced that it has secured Series A funding of $8 million led by Acrew Capital. Petabyte’s flagship solution,, is a cloud-based platform that provides veterinary practices with mobile tools, including unique standardized codes and a virtual medical exam. (Business Wire)
  • Rover’s Pet announced the launch of Champion’s Relief CBD products for horses. (Pet Business)
  • Bioinnovo announced an updated partnership with Algenex for the international rights to use Algenex’s APCH (antigen presenting cells homing) molecule in the field of animal health. APCH is an antibody that recognizes the class II antigen molecule in immune cells of all animal species that can be used to boost the immune responses against subunit vaccines. (Animal Pharm)
  • BioNexus KC announced the creation of a seed capital fund focused on helping early-stage life science entrepreneurs bridge the funding gap between academic funding and commercialization. The investment fund will have $6 – 10 million to help a diverse group of animal and human health companies. (AVMA Smartbrief – Kansas City Business Journal)
  • EU Bayer Animal Health announced it has received European approval for its Neptra (florfenicol, terbinafine hydrochloride, mometasone furoate) canine otitis externa treatment. The single-dose product is called Claro in the US and Canada. (Animal Pharm)
  • JAPAN DS Pharma Animal Health announced a licensing agreement for the veterinary rights to ghrelin-based injectable from Daiichi Sankyo.  The product is being developed to treat inappetence in dogs. (Animal Pharm)
  • AU Lyka Pet Food, an Australia-based, human-grade dog food subscription outfit, announced that it received AU$500,000 (US$339,359) in pre-seed funding to expand its custom pet food business in 2020. (Petfood Industry)
  • NEW ZEALAND Biotech company Zoono announced that its proprietary microbe shield, ZOONO Z71, was found to be “extremely effective” in counteracting the African Swine Fever (ASF) virus. Researchers discovered that Zoono’s Z71 microbe shield inactivated the ASF virus with 99.99% efficiency without any toxic or detrimental effects. Zoono is also conducting trials in pig pens in China in conjunction with several pig producers, reporting that within the pens treated with its proprietary product, there have been no AFS virus infections or pig fatalities. (
  • UK Pets Choice announced the purchase of the Bob Martin Healthcare factory, assets and goodwill. Alongside the acquisition Pets Choice have agreed to a brand license with the Martin family so that the Bob Martin brand can continue. The Bob Martin (UK) Healthcare brand includes Clear, Clear Plus and cat litter brand Felight. Financial terms were not disclosed. (GlobalPets)
  • EU Scholtus Special ProductsV., a leading supplier of dog and cat treats in Europe, and Teeling Petfood B.V., a leading supplier of petfood in Europe, announce that Scholtus acquired certain assets related to the snack activities of Teeling. Financial terms were not disclosed. (GlobalPets)
  • UK Vet-AI announced it has exclusively partnered with one UK pet insurer Animal Friends. Pet owners with insurance from Animal Friends will be able to check their animal’s symptoms, get advice on treatment or find out if they need to visit a vet clinic, through Vet-AI’s app, Joii. Policyholders can also access unlimited, free video consultations with fully qualified and RCVS registered UK vets. (



  *Thursday market closing prices



  • US – ANTIBIOTIC USE The FDA announced the release of the 2018 Summary Report on Antimicrobials Sold or Distributed for Use in Food-Producing Animals, which showed that domestic sales and distribution of medically important antimicrobials for use in food-producing animals increased nine percent between 2017 and 2018.  To read the report, go to (FDA)
  • UK – AVIAN INFLUENZA Avian influenza has been detected in the UK for the first time in more than two years. A low pathogenic H5 strain of the virus was found at a chicken farm in Suffolk. All 27,000 birds at the commercial farm will be culled. (Animal Pharm)


Mind Time
Some people enjoy the variety of changing seasons, while others would prefer one season all year long.  I was not particularly fond of one animal health company season.  It was the “oh my gosh, there are only six weeks left in the year; we need to make budget, clear up all the loose ends, get ready for the January sales meeting and celebrate a couple holidays with the family” season.  The good news is that it seemed to be the shortest season of the calendar year.

Why does the time between mid-November and New Year’s Day seem so short?  Duke University professor, Adrain Bejan, explains the difference between “clock time” and what he calls “mind time” based on physics.  It seems our eyes take in information in little doses called saccades (suh ˑ kaad) that are then processed by the brain.  The fewer saccades our brain process, the faster time passes.  Processing is slowed and time seems to pass faster with fatigue, complex brain functioning, and age.  I’m sure that two of the three could have been a factor for me.

If you are experiencing a bit too much of this “season”, Brakke Consulting may be able to help make your year-end planning and execution less hectic.  With consultants experienced in almost all facets of animal health, we offer a wide variety of services from answering a simple question to planning and executing complex projects.  Give us a call.  If you don’t know one of us personally, visit our website for an introduction at  We may be able to expand your “mind time” and make your holiday season more enjoyable.

Cary Christensen


Trouble viewing this newsletter?  You can view it online at

This electronic newsletter is the sole property of Brakke Consulting.
Any use of the contents herein should be approved by and appropriately attributed to Brakke Consulting.

For more information about Brakke Consulting’s services and syndicated studies, visit our website at

Brakke Consulting
806 Green Valley Rd
Suite 200
Greensboro, NC  27408

en_USEnglish (United States)