2014/10/27 - Financial public releases

Virbac agrees to acquire veterinary assets from Eli Lilly in the United States

Virbac announces that it has entered into an agreement with Eli Lilly and Company to acquire major United States veterinary products currently marketed by Novartis Animal Health. Eli Lilly has agreed to divest these U.S. assets in connection with the U.S. Federal Trade Commission’s review of Eli Lilly’s pending acquisition of Novartis Animal Health worldwide.

Under the terms of this agreement, Virbac would acquire a combination of titles and rights for the United States on trademarks, marketing authorizations, patents, know-how, customer lists and other assets, related to two major parasiticides for dogs: Sentinel® Flavor Tabs and Sentinel® Spectrum, currently marketed in the United States by Novartis Animal Health.

In the United States, Sentinel Flavor tabs and Sentinel Spectrum are expected to reach total revenues of approximately $90 to $100 million US dollars in 2014. Adding these strong brands and commercial franchise to the current Virbac portfolio of products offered to veterinary clinics and pet owners in the United States will substantially strengthen Virbac’s presence and penetration in the U.S. companion animal veterinary market and leverage its growth potential.

The completion of this transaction is subject to approval by the Federal Trade Commission, which Virbac expects may be received in the near future. It is also conditioned on the closing of the acquisition of Novartis Animal Health by Eli Lilly and should occur shortly thereafter.