Elanco, the animal health division of Eli Lilly and Co., reported today that it will acquire poultry vaccine manufacturer Lohmann Animal Health.
Lohmann, based in Cuxhaven, Germany, also markets a range of feed additives.
“The addition of Lohmann Animal Health provides a unique opportunity for Elanco to expand our presence in the global poultry market and to enter the global poultry vaccine market with a solid base, established products, and global commercial and manufacturing capabilities,” said Jeff Simmons, president of Elanco Animal Health.
The agreement grants Greenfield, Ind.-based Elanco all the assets of Lohmann SE and its animal health subsidiary, including plants in Cuxhaven and Winslow, Maine. The transaction price was not disclosed.
The deal is subject to regulatory approvals and is expected to close in the second quarter of 2014.
Elanco reported that the acquisition complements the company’s “mission to help the global food chain deliver a safe, affordable, sufficient food supply.”
“As the middle class grows in size and affluence throughout the world, the demand for eggs and poultry is growing rapidly,” said William Weldon, vice president of Elanco research and development. “However, egg layer productivity is now shrinking after decades of increases. Delivering innovation to this industry is critical.”