ELANCO has said it hopes to complete its purchase of Bayer’s Animal Health business by 3 August after European officials cleared the deal, subject to certain conditions.
The proposed purchase would create the world’s second-largest animal health business, with Elanco saying that adding Bayer’s portfolio of products would help balance its offering between farm animal and companion animal lines.
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Elanco said that Bayer’s direct-to-consumer experience complemented its “long-standing focus on the veterinarian”.
The two companies will have to divest certain products in order to gain approval for going ahead with the transaction, which has already been approved by competition authorities in other markets such as China, South Africa and Ukraine.
European Competition Commissioner Margrethe Vestager said : “With the divestment of current and pipeline products treating ear infections and parasites in pets and livestock, the merger can go ahead whilst preserving competition and innovation in these markets.”
Jeff Simmons, president and chief executive of Elanco, said: “As the transaction edges closer to fruition, we look forward to turning our full attention to delivering innovation and an expanded portfolio of solutions for farmers, veterinarians and pet owners across the globe.
“The recent months have only underscored the critical work our farmers do in delivering meat, milk, fish and eggs, and the importance of providing pet owners and veterinarians with a variety of solutions in multiple channels from telemedicine and e-commerce to direct home delivery.
“Combining Bayer Animal Health’s leadership in these areas better positions Elanco to deliver on these needs.”