Animal Health News & Notes for July 22, 2022

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Brakke Consulting’s
Animal Health News & Notes for July 22, 2022
Copyright © Brakke Consulting
Editor: Lynn Fondon DVM MBA
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IN THE NEWS:
Brakke Consulting News
Cancer in Dogs and Cats report – coming in September

Earnings News
Orion
Vetoquinol
Virbac

Other News
A Time to Heal
adivo
American Animal Hospital Association
Aquabyte
Assisi Animal Health
Axcel
Canine Brands
Canophera
Dechra
Felix Capital
Goodness Gracious
Hospira
Lassie
NaturVet
Petabyte Technology
PetMed Express
Piedmont Animal Health
Rex
Simmons Pet Food
Swedencare
Syngene International
Veritas Veterinary Partners
Vetster
Voff
Vorwerk Ventures
Zoetis
Zomedica

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BRAKKE CONSULTING
2022 CANCER IN DOGS AND CATS REPORT – COMING IN SEPTEMBER
EARLY ORDER DISCOUNT NOW THROUGH AUGUST 26

Did you know that cancer is the #1 cause of death in adult dogs?  It’s also a leading health concern of dog owners.  So how is cancer addressed by the veterinary profession, and what kind of market is there for veterinary cancer therapies?

Brakke Consulting’s new 2022 Cancer in Dogs and Cats report includes information on the incidence, diagnosis, and treatment of the common veterinary cancers.  It covers currently approved veterinary therapies and those in development, as well as estimates of the numbers of pets treated.

The study includes a survey of 300 general veterinary practitioners about incidence of cancer and frequency of treatment; as well as a survey of 1,000 pet owners to determine what they are willing to pay to treat a pet with cancer.

The report is available for pre-order for $7,995 until August 26, and will be published in September. For more information, please contact Dr. Lynn Fondon at lfondon@brakkeconsulting.com.

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EARNINGS NEWS RELEASES

• Virbac reported financial results for the second quarter of 2022. Revenue reached EUR 298.3 million ($304 million), a 13.5% increase compared to 2021 (at constant exchange rates, growth was 7.8%). (GlobeNewswire)
• Vetoquinol reported financial results for the second quarter of 2022. Sales were EUR 136 million ($139 million), up 6.7% on a reported basis and up 1.8% on a like-for-like basis compared to the same period last year. (company website)
• Orion Animal Health reported results for the second quarter of 2022. Animal health turnover was flat at EUR 17.7 million ($17.8 million), with sales of sedatives climbing 27% to EUR 11.3 million ($11.4 million). (IHS Markit Connect – subscription)

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COMPANY NEWS RELEASES

• Syngene International Limited announced the signing of a 10-year agreement with Zoetis to manufacture the drug substance for Librela (bedinvetmab). This agreement paves the way for development and manufacturing of other molecules in the coming years and is expected to be worth up to $500 million to Syngene over 10 years, subject to regulatory approvals and market demand. (equitybulls)
• Dechra announced it has agreed to acquire Piedmont Animal Health, Inc. for $210 million in cash. Piedmont specializes in developing novel and differentiated products for the companion animal market. Dechra also announced its intention to conduct a non-pre-emptive placing to raise approximately GBP 180 million ($215 million) through the issue of 5,247,813 new ordinary shares of nominal value of 1 pence each in the capital of the Company. (investis.com)
• Zomedica announced that it has acquired substantially all the assets of Assisi Animal Health LLC, which has developed an innovative line of targeted Pulsed Electromagnetic Field devices for companion animals. Financial terms were not disclosed. (Yahoo Finance)
• Swedencare announced it has made a $27.5 million earn-out payment under the conditions of its acquisition NaturVet at the start of 2022. The undisclosed target for the earn-out was achieved in May and the payment has been made to the Garmon Family Trust. (IHS Markit Connect – subscription)
• Hospira, Inc., a Pfizer company, is voluntarily recalling one lot of Propofol Injectable Emulsion, USP (containing benzyl alcohol), 100 mL Single Patient Use Glass Fliptop Vial; lot DX9067, to the user level due to a visible particulate observed in a single vial during annual examination of retain samples. (AVMA Smartbrief – FDA)
• PetMed Express, Inc. announced it is now the exclusive fulfillment partner for Vetster veterinary telemedicine and pet-care marketplace. (PRweb)
• Simmons Pet Food will invest $115 million to open a new 750,000-square-foot distribution facility in Arkansas and add a fourth high-speed canning line at its existing plant. (Kansas City Business Journal – Subscription)
• Veritas Veterinary Partners, a national network of over 100 leading specialty and emergency veterinary care providers, announced the acquisition of Pet Emergency & Specialty Center of Marin and Wheat Ridge Animal Hospital. Terms of the transaction were not disclosed. (company press release)
• Goodness Gracious, a human food manufacturer, has partnered with A Time to Heal to distribute human-grade dog food to veterinarians throughout the US. The newly formed partnership will bring Goodness Gracious’ “gently cooked,” complete-and-balanced dog food formulas to A Time to Heal’s community of veterinarians. (Petfood Processing)
• The American Animal Hospital Association (AAHA) and Petabyte Technology announced the launch of AAHA Benchmarking, a digital tool that uses live practice information management system (PIMS) data and advanced benchmarking analytics to compare practice performance insights to the broader veterinary space. (Businesswire)
• Canophera, a German producer and distributor of all-natural wood dog chews, has partnered with Canine Brands distributors to serve independent pet retail stores across California and Nevada. (Pet Product News)
• Aquabyte announced it has closed a $25 million series B financing round. The firm has developed a system that connects an underwater camera to a machine learning platform in order to give farms insight into the health, growth and sustainability of their fish. (IHS Markit Connect – subscription)
• SWEDEN Swedish premium pet food manufacturer Voff announced it has been acquired by Nordic private equity firm Axcel, which acquired several pet food and treats brands in 2021. Financial terms were not disclosed. (Globalpets)
• GERMANY adivo – a startup developing species-specific therapeutic antibodies for companion animals – announced it has expanded an existing global research collaboration with a leading animal health company. The original agreement addressed severe diseases in dogs; the updated deal will include the joint discovery and development of therapeutic monoclonal antibodies for cats. (IHS Markit Connect – subscription)
• GERMANY Pet tech startup Rex announced it has raised EUR 5 million ($5 million) to bring the digital world to vet care, offering a range of digital services including mobile appointment booking, telehealth visits and regular reminders about vaccinations and check-ups. The funding was led by Vorwerk Ventures. (eu-startups.com)
• SWEDEN Swedish pet insurance startup Lassie has received EUR 11 million ($11 million) series A from notable angel investors. The round was led by British venture capital firm Felix Capital.  (com)

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ANIMAL HEALTH STOCK PRICE TRACKER

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ANIMAL HEALTH NEWS

• US – CATTLE DISEASE The National Cattlemen’s Beef Association, in conjunction with USDA, is hosting a free two-day webinar to address concerns about the Asian longhorned tick and its possible impact on the U.S. cattle industry. The free event will take place August 23-24. (Vet Advantage)
• US – DIAGNOSTICS A diagnostic panel developed by researchers in Purdue University’s College of Veterinary Medicine will enable its Animal Disease Diagnostic Laboratory (ADDL) to screen for 22 different vector-borne pathogens in a single test. According to Purdue the panel, designed to be used on cats and dogs, is the only test of its kind and will soon be available to clients of the ADDL. (purdue.edu)
• US – The American Animal Hospital Association has accredited Tokyo’s Daktari Animal Hospital, AAHA’s first member hospital outside North America. The hospital has three facilities in Tokyo and other affiliate locations throughout Japan. Part of the accreditation process in this case meant AAHA had to adapt its standards to Daktari’s environment. (Vet Advantage)
• VIETNAM – ASF PEN-SIDE TESTS The University of Nebraska-Lincoln has evaluated several pen-side tests for African swine fever (ASF) in Vietnam. In a study backed by the Swine Health Information Center (SHIC), researchers evaluated three diagnostics: a PCR test for detection of viral genomic DNA and two lateral flow tests for detection of viral antigens. Findings showed the PCR pen-side test performed better than the other two diagnostics. All the pen-side tests had 100% specificity, regardless of the sample types tested. The pen-side PCR test had 88.2% and 70.4% sensitivity with whole blood and oral swab samples, respectively. The sensitivity of the antigen tests for whole blood or oral samples was only 50% and 11.11%, respectively. (IHS Markit Connect – subscription)
• US – FOOD SAFETY Lawmakers in the U.S. House and Senate have introduced a bill to remove food safety oversight functions from the FDA and instead establish a Food Safety Administration in the Department of Health and Human Services. The bill would remove existing food safety programs within the FDA, with Senate confirmation required for leadership appointments. The bill doesn’t include USDA’s Food Safety and Inspection Service. (Vet Advantage)
• US – VETERINARY SCHOOLS Lincoln Memorial University is launching an Equine Veterinary Education Program, with plans to welcome students in fall 2023. The program will be composed of a two and a half-year undergraduate program, followed by a four-year veterinary doctoral program with a strong emphasis on equine veterinary medicine. (Vet Advantage)

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BRAKKE CONSULTING VIEWPOINT

In recent weeks I have been visiting corporate offices and cannot help but notice how empty some of them are. As we recover from the pandemic and are now in the endemic part of the story, will there ever be a return to the days when people went to offices to work and did not operate in the virtual Zoom world. While many people I asked desired a return to that environment, they were also quick to point out the joys of flexible work arrangements – especially those with long commutes. And no doubt the cost of gasoline is now replacing Covid as a reason not to drive to the office every day. In the end, will companies and employees come to an appropriate compromise that encourages good work performance- while meeting the new expectations for the remote work opportunity?

Another observation is that the last couple of years has made many of you think differently what a ‘successful’ career would look like. Work/life balance was really brought back into perspective and many people have reengineered what they are defining as success. How about you? It’s perfectly natural to stop and see if you are headed where you want to be after what we’ve been through. If you haven’t done this in a while, it’s always good to stop and really look hard at your career/life balance and make sure you are headed where you want to go. And you may be surprised by the outcome!

Paul Casady

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YOUR VIEW

Last week, we asked about corporate growth rates. Last week’s Viewpoint dealt with growth and how leaders make an explicit, conscious decision to grow their business, rather than just paying lip service to it.  Not all companies grow and our question last week asked, “ Between 2010 and 2019, how many companies (those measured by McKinsey) achieved more than 10% revenue growth annually?”  According to McKinsey’s assessment, only 12.5% of companies grew at 10% during that time period, which was chosen by 26% of respondents.  Over 25% of respondents estimated that 25% of all companies grew at that rate, over 17% said that 50% of companies grew over 10%. The most critical respondents thought that less than 5% of companies grew at 10% annually during that time period.  Another interesting fact is that growth leaders generate 80% more shareholder value than their peers over the ten year period.  If you’d like to read what beliefs and behaviors that growth leaders share, here is another good article by McKinsey authors.

This week
In the last year, as a result of the huge changes in work/life balances, I have: