Brakke Consulting’s
Animal Health News & Notes for April 16, 2021
Copyright © Brakke Consulting
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting News
Transaction assistance
Earnings News
Virbac
Other News
Apiam Animal Health
Boehringer Ingelheim (ProZinc)
Boehringer Ingelheim (Ubroseal Blue)
Cresilon
Dechra
dvm360
ImmuCell
Intervacc
J.M. Smucker
Nuritas
Pathway Vet Alliance
Sumitomo Chemical
Vetio
Vetoquinol
VetPartners
Vetspire
VetUK
Zoetis
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COMPANY EARNINGS RELEASES
- Virbac reported results for the first quarter of 2021. Revenue was EUR 266.5 million ($319 million), an increase of 17.5% excluding Sentinel (+7.6% in real terms) compared to the same period in 2020. At constant exchange rates and scope, growth was +22.6%. In the US, first-quarter activity excluding Sentinel increased 68% (+85% at constant exchange rates). (company website)
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BRAKKE CONSULTING
TRANSACTIONS CAN BE CHALLENGING – WE CAN HELP
In the past few days I’ve been grappling with the mechanics of selling a house, an activity that has been turned upside down since the last time I experienced it. Bidding wars, offers over list, escalation clauses; all of these are new wrinkles that bring uncertainty to a transaction that I thought I understood. This experience is giving me a quick lesson in empathy for those of you who are tackling the sale or funding of an animal health company, veterinary practice, or any business entity.
Transactions in our industry are also breaking the old paradigms with higher valuations, low interest rates, heightened availability of capital, and other factors. If you are contemplating a transaction in such fast-changing times, Brakke Consulting offers you a professional partner to sit on your side of the table with an experienced viewpoint. We can help you navigate this 2021 environment so that you are able to take the best advantage of the opportunities in front of you. Call us at 336-396-3916 or email us for more information.
Jim Kroman
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COMPANY NEWS RELEASES
- Boehringer Ingelheim announced that ProZinc (protamine zinc recombinant human insulin) is now FDA-approved for use in dogs to reduce hyperglycemia and hyperglycemia-associated clinical signs in dogs with diabetes mellitus. (company press release)
- Boehringer Ingelheim announced that it has updated its Ubroseal internal teat sealant to Ubroseal Blue. Ubroseal Blue is only teat sealant to feature a visible blue color that is easy to distinguish from milk during removal. (company press release)
- Vetoquinol USA announced the launch of two new offerings: Clevor (ropinirole ophthalmic solution), the first and only FDA-approved emetic for dogs; and ToxBuddy, an online information service that can help veterinarians quickly assess and treat potential canine poisonings. (company press release)
- ImmuCell Corporation announced that it has closed an equity investment raising gross proceeds of $4,250,037. On April 14, 2021, the Company issued the aggregate of 515,156 common shares at $8.25 per share directly to its largest stockholder (the Pessin family) and several other investors. (company press release)
- M. Smucker announced it is recalling two lots of Meow Mix dry cat food due to potential salmonella contamination. The food was distributed in 30-pound bags and sold at Walmart stores in Illinois, Missouri, Nebraska, New Mexico, Oklahoma, Utah, Wisconsin and Wyoming. (AVMA SmartBrief – Slashgear)
- Vetio announced the expansion of its Jupiter, FL site with the addition of a new 35,000 square foot manufacturing plant, customized R&D labs for liquids and solid dosage supplements, and additional warehousing. The expansion supports the company’s growing liquid dermatology business and marks the introduction of Vetio into solid dosage supplement contract development and manufacturing for animal health. (company press release)
- Sumitomo Chemical announced a multi-year partnership with Irish firm Nuritas to aid discovery of bioactive peptides using artificial intelligence to predict, unlock and validate highly efficacious peptides from plant sources. Sumitomo will validate the efficacy of these new discoveries and then commercialize any ensuing products globally. (IHS Markit Connect)
- Cresilon announced it has closed a series A-3 financing worth $38.5 million from undisclosed investors. The funding will allow the start-up to accelerate its global rollout of Vetigel, a single-use and prescription-only plant-based hemostatic gel for the animal health market. (IHS Markit Connect)
- Pathway Vet Alliance announced it has acquired Vetspire, an artificial intelligence veterinary medical record and practice management platform. Terms of the acquisition were not disclosed. (PRweb)
- dvm360 announced that it will be hosting its second live Fetch Virtual, a dvm360 Conference, from Thursday, May 13 to Saturday, May 15, 2021. (PRNewswire)
- EU Zoetis announced the launched of Librela (bedinvetmab) canine osteoarthritis (OA) injectable monoclonal antibody pain treatment in Europe. The company has also revealed its Solensia (frunevetmab) treatment for feline OA pain will be launched in the same territories in May. (IHS Markit Connect)
- EU Intervacc AB announced an exclusive distribution agreement with Dechra Pharmaceuticals PLC to commercialize Intervacc’s leading vaccine candidate Strangvac – an equine strangles vaccine – in Europe, excluding the Nordic and Baltic countries where Intervacc will market and sell Strangvac directly. Intervacc is forecasting EU approval for the vaccine in the second quarter of 2021. (Marketscreener.com)
- AUSTRALIA Apiam Animal Health announced the successful completion of a A$6 million institutional share placement at 80c per share, a material premium to where the company’s shares started the year at around 60c. Apiam will use the funds to accelerate its regional expansion plans. (Stockhead.com.au)
- UK VetPartners announced it has acquired online retailer VetUK, is one of the UK’s biggest online suppliers of pet care products, including toys, accessories, pet food, over-the-counter pet treatments, and veterinary prescription medicines. Having its own online pharmacy and retail business will enable VetPartners to expand its services for clients at its 160 practices with more than 500 sites across the UK. Financial terms were not disclosed. (TheBusinessDesk.com)
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ANIMAL HEALTH STOCK PRICE TRACKER
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ANIMAL HEALTH NEWS
- US – ADUFA UPDATES The FDA will hold public meetings on May 20, 2021 to offer opportunity for discussion on the proposed reauthorization of the Animal Drug User Fee Act (ADUFA) and Animal Generic Drug User Fee Act (AGDUFA). The FDA is also providing the opportunity for the public to comment on the user fee programs and make suggestions regarding features that the FDA should propose for the next ADUFA and AGDUFA programs. Interested parties can share their comments at the meeting or by submitting them to the public docket electronically or by mail. Click here for details. (FDA)
- US – VET CONVENTIONS The American Veterinary Medical Association’s annual convention will be online only for the second straight year because of the pandemic. The 2021 event had been scheduled to start July 29 in Minneapolis. Two other major veterinary industry conferences will take place in 2021 as hybrid events — in-person and online. VMX, hosted by the North American Veterinary Community, is set for June 5 to 9 in Orlando, Florida. The WVC Annual Conference is planned for Sept. 6 to 9 in Las Vegas. (Todays Veterinary Business)
- US – VETERINARY NETWORKING The AVMA announced the launch of the Online Educator Community on its AVMA Connections platform. The Online Educator Community is a space for faculty members to interact, access resources, contribute to discussion topics, and communicate directly with the AVMA, regardless of AVMA membership status. (association press release)
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BRAKKE CONSULTING VIEWPOINT
The big news in this weeks’ newsletter concerns the impending release of two new monoclonal antibody (mAb) products in the EU, Switzerland, and the UK, joining Cytopoint in the Zoetis stable of groundbreaking mAb products. Librela (for dogs) and Solensia (for cats) will both be sold as injectable treatments for osteoarthritis given monthly. Treatments for OA have become a staple of veterinary practice over the past several decades, primarily using NSAIDs. These new entries, coming as they do with a monthly injectable regimen, have a potential to revolutionize one of the most important sources of clinic dispensing income. Whether you are in practice, or you provide drugs or services to practitioners, you should be thinking about the changes to come as these new solutions (and others to follow) are introduced around the world and begin to disrupt current therapies. How will your business change? What action do you take today to be sure you benefit from such changes?
Jim Kroman
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YOUR VIEW
Last week we asked you “as we see significant cost of living increases in housing, fuel, automobiles, and healthcare already in 2021, what impact do you believe these higher costs will have on the animal care business?” 11% of you think no impact, 66% think some across all segments, 10% think the only impact will be in pets, 3% think only in food animal segment, and 10% think there will be a high impact across all segments.
This week
We all EXPECT the answer to be “increase,” but let’s see if this informal survey matches with our expectation. Have a great week!
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