Animal Health News & Notes for February 2, 2018

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Brakke Consulting’s
Animal Health News & Notes for February 2, 2018
Copyright © Brakke Consulting, Inc.

Editor: Lynn Fondon DVM MBA
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IN THE NEWS:

Brakke Consulting news
2018 Industry Overview
OTC Channel

earnings news
Elanco
IDEXX Laboratories
Merck

other news
Ab E Discovery
Animal Supply Company
Bentley’s Pet Stuff
Cainthus
Cargill
Datamars
Delivra
Diamondback Drugs
Elanco
Evonik
Innovetive Petcare
Intervivo Solutions
LifeLearn
M3DICINE
Merck
Naturex
NAVC
Neogen
Neovia
Norbrook
Pets at Home
Pooch N Paws
Royal DSM
Veramaris
VPR Cloud
Worldwise

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BRAKKE CONSULTING, INC.
INDUSTRY OVERVIEWS AT VMX AND WVC

Brakke Consulting is pleased to announce the 2018 Industry Overview. The 2018 US Animal Health Industry Overview will be presented twice this winter – once at the VMX (formerly NAVC) in Orlando, Florida and once at the Western Veterinary Conference in Las Vegas, Nevada. These dates are:
• VMX: Monday, February 5, 2018, 2:00 – 4:00 pm, Rosen Plaza Hotel
• WVC: Tuesday, March 6, 2018, 2:00 – 4:00 pm, Four Seasons.

Registration for the VMX Industry Overview is open until Friday at 2:00 pm CST; after that time, please register on-site.

To register, go to www.brakkeconsulting.com and scroll down to the “What’s New” box. The price is $400 per person for online registration; late and on-site registration is $450.
www.BrakkeConsulting.com

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COMPANY EARNINGS RELEASES 

• Merck announced financial results for the full year 2017. Animal Health sales totaled $3,875 million, an increase of 11% compared to the prior year. (company press release)

• Eli Lilly and Company announced financial results for the full year 2017. Revenues for Elanco Animal Health were $3,086 million, a decline of 2% compared to the prior year. (company press release)

• IDEXX Laboratories, Inc. reported results for the full year 2017. Revenue for the full year was $1,969 million, an increase of 11% over the prior year. Net income for the year was $263 million, an increase of 18% over the prior year. Companion Animal Group (CAG) revenue was $1,703 million, an increase of 12%. (company press release)

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COMPANY NEWS RELEASES 

• Merck Animal Health announced the launch of Banamine Transdermal (flunixin transdermal solution) for the control of pain associated with foot rot and fever associated with bovine respiratory disease (BRD). (company press release)

• Elanco Animal Health announced a new global in-licensing agreement with Ab E Discovery to further develop and bring to market an egg antibody focused on supporting gut health, and thereby the growth and welfare, of poultry. This technology, when fully developed, will focus on the natural ability of hens to pass antibodies to their offspring through eggs. (PRnewswire)

• The FDA announced that it has approved Norbrook’s Eprizero (eprinomectin) generic topical solution for beef and dairy cattle of all ages. (FDA)

• Neogen Corporation announced the release of BetaStar Advanced, the easiest method to test for antibiotics in milk. BetaStar Advanced tests for beta-lactam and tetracycline antibiotics on a platform that automatically incubates and analyzes up to three milk samples independently and simultaneously. (company press release)

• Cargill and Cainthus announced a strategic partnership that will bring facial recognition technology to dairy farms across the world. Cainthus uses breakthrough predictive imaging to monitor the health and wellbeing of livestock. The deal includes a minority equity investment from Cargill. (marketsinsider.com)

• Neovia and Naturex announced they have strengthened their scientific collaboration and signed a long-term research partnership. This partnership will enable the two companies to combine their activities to develop new natural and innovative solutions that meet the needs of the animal nutrition and health market. (Feed e-news)

• Datamars announced the launch of two livestock identification products, the Identifast UHF system and the ReFeeder visual tag. (Vet Advantage)

• Worldwise,, announced that it received a significant minority investment from consumer products-focused investment firm VisioCap, LLC. VisioCap’s investment will enable Worldwise to fuel continued product innovation and expand the distribution for its suite of market leading pet products. (GlobalPets)

• Animal Supply Company announced it is teaming up with Postmates – a courier network and logistics company – to afford its independent pet specialty retailers the opportunity to provide affordable on-demand, same-day home delivery to their customers. The service will roll out in a phased market approach, starting with a handful of retailers in California and Texas. (Vet Advantage)

• Bentley’s Pet Stuff announced it has acquired Pooch N Paws, which has two locations in Georgia. Bentley’s Pet Stuff plans to develop 5-8 additional locations in Georgia, which would allow the retailer to have more than 100 locations in 12 states. Financial terms were not disclosed. (Pet Business)

• M3DICINE announced the launch of Stethee, the world’s first AI-enabled stethoscope system. The Stethee system includes three core products: The FDA Cleared Stethee Pro for medical and healthcare professionals, Stethee Vet for veterinarians and animal professionals, and Stethee Edu developed specifically as an education and research tool. (Telecomreseller.com)

• LifeLearn, announced the launch of Sofie, a fully-automated digital reference library, and a partnership with the North American Veterinary Community (NAVC) to expand the content it offers to veterinary teams. (PRweb)

• Innovetive Petcare, announced the launch of Innovetive University, a comprehensive training tool to advance the entire veterinary team. Innovetive Petcare, Inc. is pleased to announce the launch of Innovetive University, a comprehensive training tool to advance the entire veterinary team. (company press release)

• VPR Cloud announced that Diamondback Drugs will be integrating VPR Cloud into its online prescription platform VetPrescriber.com. With this integration, Diamondback Drugs says it will be the only compounding pharmacy with an e-prescribing solution offering a fully integrated drug formulary. (company press release)

• NETHERLANDS Royal DSM and Evonik announced a 50:50 joint venture that will focus on the production of eicosapentaenoic acid (EPA) and docosahexaenoic acid (DHA) for the aquaculture nutrition market. The new venture, Veramaris, is headquartered in the Netherlands. (Animal Pharm)

• CANADA Delivra Corp. and Intervivo Solutions announced a joint venture agreement to develop a therapeutic topical cream for sleep, anxiety and separation anxiety for companion animals, as well as transdermal delivery of therapeutics for osteoarthritic pain. (markets.BusinessInsider.com)

• UK KKR announced it has sold off its remaining 12.3% stake in Pets at Home. This amounted to 62 million shares in the pet supplies retailer, which fell 2.65% in London trading. Shares were worth GBP 1.74 ($2.45) each at the time. (GlobalPets)

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ANIMAL HEALTH NEWS 

• US – REGULATORY AGREEMENT THE FDA and USDA announced a formal agreement aimed at making the oversight of food more efficient and effective by bolstering coordination between the two agencies. The formal agreement outlines efforts to increase interagency collaboration, efficiency and effectiveness on produce safety and biotechnology activities, while providing clarity to manufacturers. (FDA)

• WORLD – GALVMED FUNDING The Global Alliance for Livestock Veterinary Medicines (GALVmed) announced a new $40 million investment from the Gates Foundation. The funding will be spread over five years and will enhance GALVmed’s ability to develop affordable vaccines, medicines and diagnostics for livestock and make them available across Africa and South Asia. The Gates Foundation previously funded GALVmed in 2008 and 2012. (Animal Pharm)

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BRAKKE CONSULTING, INC.
UNDERSTANDING THE OVER-THE-COUNTER MARKET

Whether your business is considering the OTC channels for new business opportunities or you have been distributing in the OTC channels for years, Brakke Consulting’s team can provide significant and quality assistance to businesses seeking to learn more about the details of the OTC channels of distribution.  If you are looking for meaningful insights into the OTC channels, the trends found there, and the opportunities that exist, contact our Dallas office or Joel Adamson at adamson.joel@cox.net.

www.BrakkeConsulting.com
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BRAKKE CONSULTING VIEWPOINT

The year-end reports for three of the industry largest companies this week reflect mixed results.  The IDEXX growth confirms the increased use and value of diagnostics in detecting disease in both companion and food animals.  This trend has been occurring for some time, with other diagnostic companies also showing excellent growth in 2017.  Our 2018 industry overview – which will be given next Monday during VMX – has a section on diagnostics that reflects the current market and many of the new products and technologies expected to enter the market in the near future.

It appears that 2018 is off to a great start, based on the multiple stories this week on various product and technology launches, licensing and joint-ventures and new product approvals.  We’ll see many of you in Orlando this coming week at VMX.  If you’ve not already done so, register today for our 2018 Animal Health Industry Overview.

Travel safe and have a great weekend!

Ron Brakke

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