The Experts in Animal Health

Brakke Consulting’s
Animal Health News & Notes for September 7, 2018
Copyright © Brakke Consulting, Inc.

Editor: Lynn Fondon DVM MBA

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Alivira Animal Health
Aurora Pharmaceutical
Bioscreen Technologies
Boehringer Ingelheim
Brief Media
CloserStill Vet US
Cyton Biosciences
Data Specialists
Devenish Nutrition
Farmvet Systems Ltd.
Livestock Genetic Services
Modern Veterinary Media
Ozark Mountain Poultry


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• Bayer reported results for the second quarter of 2018. Sales of Animal Health were EUR 453 million ($528 million), an increase of 0.7% compared to the second quarter of 2017 (+7.6% Fx & portfolio adj.). Animal Health EBITDA for the quarter was EUR 125 million ($146 million), an increase of 8%. (company website)

• Dechra Pharmaceuticals reported results for the full fiscal year ended June 30, 2018. Sales were GBP 407.1 million ($525 million), an increase of around 13% for fiscal 2018. North American sales were GBP 148 million ($191 million), an increase of 12%. (company website)

• Avivagen Inc. reported its financial results for its fiscal third quarter ended July 31, 2018. The Company reported revenues of C$364,213 (US$279,000) and a comprehensive loss from continuing operations of (C$1,031,779) (US$791,000) for the three-month period ended July 31, 2018. (company press release)


• Elanco Animal Health announced terms for its IPO. The company plans to raise $1.4 billion by offering 62.9 million shares at a price range of $20 to $23. At the midpoint of the proposed range, Elanco Animal Health would command a fully diluted market value of $7.7 billion and an enterprise value of $9.9 billion. (

• Neogen Corporation announced that it has acquired the assets of Livestock Genetic Services, LCC, a Virginia-based company that specializes in genetic evaluations and data management for cattle breeding organizations. Terms of the agreement were not disclosed. (company press release)

• Huvepharma announced it has acquired the animal health business of French feed firm Neovia. Neovia is currently part of the InVivo Group but is being acquired by US firm Archer Daniels Midland; Neovia is divesting its animal health assets to Huvepharma in order to focus fully on its core nutritional assets. Financial terms were not disclosed. (Animal Pharm)

• Pharmgate LLC and Devenish Nutrition LLC announced a partnership to bring Pharmgate’s pharmaceutical products to the US poultry industry. As part of the partnership agreement, Devenish will be the exclusive distributor of Pharmgate LLC poultry pharmaceutical products in the US. (Feedstuffs)

• Aurora Pharmaceutical, LLC, announced the launch of CocciAid (amprolium) 9.6% Oral Solution Coccidiostat for the treatment of coccidiosis in growing chickens, turkeys and laying hens. (company press release)

• Animalcare announced it has sold its Medini wholesaling division for around GBP 2.65 million ($3.4 million). The division was sold to Vetdis, a private company based in Belgium. (Animal Pharm)

• Vetstream announced it has extended its Vetlexicon service with the launch of Bovis, a practical, peer-reviewed online clinical resource for veterinarians working with cattle. (company press release)

•, a provider of software as service solutions powering dairy supply chains, announced it is acquiring Data Specialists Inc. (DSI), a technology company serving the dairy industry. Financial terms were not disclosed. (Feedstuffs)

• George’s Inc., a leading producer of poultry products and prepared foods, has entered into a definitive agreement to acquire Ozark Mountain Poultry Inc. (OMP). OMP produces antibiotic free and non-genetically modified organism (GMO) chicken products under its Forester Farmers Market brand. Financial terms were not disclosed. (Feedstuffs)

• CloserStill Vet US, LLC, a joint venture between London-based CloserStill Media, and Tulsa-based Brief Media, has announced it has acquired the Wild West Veterinary Conference and Chicagoland Veterinary Conference in a deal with Modern Veterinary Media. Financial terms were not disclosed. (company press release)

• EU Boehringer Ingelheim announced the European launch of Semintra 10 mg/ml Oral Solution (telmisartan), the first oral solution to treat feline hypertension. The product was previously authorized as a 4mg/ml oral solution for cats for the reduction of proteinuria associated with CKD. (Animal Pharm)

• IRELAND Vetoquinol announced it has acquired a majority interest in Farmvet Systems Ltd. VetImpress, a software application developed by Farmvet Systems for veterinary practitioners on cattle farms, is currently sold in the United Kingdom and Ireland; Vetoquinol will make it available to vets around the world. Financial terms were not disclosed. (Business Wire)

• FRANCE Alivira Animal Health announced it has commenced operations in France by launching Pestigon Combo, a generic fipronil & methoprene spot-on for companion animals. (company communication)

• ITALY Balchem Corp., through its wholly owned subsidiary, Balchem Italia S.r.l., announced that it has acquired Bioscreen Technologies S.r.l., a small, privately held manufacturer of encapsulated and fermented feed nutrition ingredients headquartered in Bertinoro, Italy. The financial terms of the transaction were not disclosed. (Feedstuffs)

• EU Contract research organization Cyton Biosciences announced it has opened its first office outside the UK in Mannheim, Germany, in order to guarantee its full array of services in the EU post-Brexit. (Animal Pharm)


• US – PREVENTIVE CARE The American Animal Hospital Association (AAHA) announced a new publication, developed with the support of an educational grant from IDEXX: Promoting Preventive Care Protocols: Evidence, Enactment, and Economics. (association press release)

• US – WELLNESS PLANS The American Animal Hospital Association (AAHA) announced a new AAHA Pet Wellness Plans program developed for AAHA-accredited practices that gives pet owners access to important preventive care services with an affordable monthly payment. The Plan is powered by VCP. (association press release)

• US – EIA The Wyoming Livestock Board has quarantined nine equine facilities after resident equids were exposed to a horse that ultimately tested positive for equine infectious anemia (EIA). 41 horses were exposed at the original facility where the index case was sent illegally from Colorado. (

• US – GMO LAWSUIT The FDA has asked a federal court to dismiss part of the lawsuit challenging its approval of AquaBounty’s genetically engineered (GE) salmon. The agency approved the GE salmon in November 2015 after an FFDCA review that spanned more than 20 years, declaring it as “safe and nutritious to eat” as conventional salmon. The plaintiffs filed suit in March 2016 to reverse the approval, alleging the FDA failed to adequately assess the environmental and potential health impacts from the GE salmon, and that the FDA lacks the authority to review and approve the transgenic fish as a new animal drug. (Animal Pharm)


Let Brakke Consulting provide assistance for all your transactions.

Brakke Consulting has been the finder of record, agent of record or consultant for a number of successfully completed projects. We assist with valuations and provide due diligence on confidential transactions as well as offering executive counsel on a number of potential transactions.

Brakke Consulting has the experience, insight, ability and contacts to provide clients with the highest quality services in the animal health, pet, veterinary and specialty chemicals markets. Please contact any of our offices for a confidential consultation.


While there are some interesting items in this week’s newsletter, none seemed to have a “Wow Factor”. One of the larger animal health companies reported a very small gain in revenue for the second quarter, although the currency-adjusted results were better, and another company reported double-digit revenue growth for their full year. These numbers demonstrate the value of either having new products to introduce or significant acquisition activity versus prior year.

As you can tell from a number of the announcements, much of the growth in some companies is coming from the acquisition of products or technology. As we note in our 2018 Overview, many of the larger companies are dependent on innovative start-ups to fill out their new technology portfolios. While some of the larger companies have excellent research programs in place, it appears that smaller companies have more flexibility in their management processes to create innovations. These innovations can then be purchased by a leading company to complete the regulatory and commercialization process, which is an exit strategy that has worked time after time for smaller companies. I’d like to remind our readers that Brakke Consulting has a very successful record in helping companies both purchase and divest companies or technologies. We have been the agent of record in a number of transactions for various types of animal health and pet businesses over the years. Please feel free to give me or another Brakke consultant a call regarding our transaction services.

Have a great weekend and enjoy the arrival of fall for some cooler weather!

Ron Brakke

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