Elanco to acquire ChemGen Corp.
Jan. 24, 2012
by Meat&Poultry Staff
GREENFIELD, Ind. – Elanco announced from the International Poultry Expo on Jan. 24 that the company will acquire ChemGen Corp. a privately-owned bioscience company that specializes in feed enzyme products for poultry, egg and meat production. The announcement came during the International Poultry Expo in Atlanta, Ga. Elanco is the animal health division of Eli Lilly and Company.
With the acquisition, Elanco will gain a portfolio of leading feed enzyme products, as well as a pipeline of innovative compounds in development, the company said. Research and administrative operations will remain at ChemGen's current location in Gaithersburg, Md. Manufacturing activities will remain at its facility in Terre Haute, Ind., as well as its present sales and field service operations.
ChemGen will become a wholly owned subsidiary of Lilly and an operating unit of Elanco. The company expects the transaction to close in the first quarter of 2012. Financial terms of the transaction were not disclosed.
“This acquisition allows Elanco to leverage our expertise in developing trusted, science-based solutions into the enzyme space, which is an emerging field with significant growth potential," said Jeff Simmons, senior vice president of Eli Lilly and Company and president of Elanco Animal Health. "ChemGen’s strong presence in the poultry and swine markets in North America and Asia is well suited to Elanco’s existing business, while Elanco’s presence in Latin America and Europe represent growth opportunities.
"Given Elanco’s global footprint, customer relationships, and market knowledge, we are well positioned to continue to grow product sales, as well as expand to new customers and geographies," he added.