Lilly buys Pfizer's European animal health assets, as the latter bids for Ratiopharm control; Sanofi/Merck & Co animal health combo

Elanco, the animal health division of US drug major Eli Lilly has signed an agreement to acquire the European rights to a portfolio of certain Pfizer Animal Health products. The products, including vaccines, parasiticides and feed additives, are used in both the production animal and companion animal markets. Terms of the transaction are not disclosed.

The products - which the European Commission said Pfizer had to divest because of competition concerns in the animal health sector resulting from its $68 billion acquisition of fellow US drug major Wyeth last year -  have been marketed by Pfizer and Wyeth's Fort Dodge operations. Elanco will also acquire a manufacturing facility in Sligo, Ireland, currently used in the production of animal vaccines.

"The addition of this attractive portfolio of products and a world-class manufacturing facility is a natural fit for Elanco and positions us well for sustained growth," said Jeff Simmons, president of Elanco. "Through this acquisition, we will expand and diversify our European presence with new market-leading products, augment our growing portfolio of companion animal medicines, and acquire new biologic and vaccine capabilities. We are excited about these new opportunities to improve animal health and protein production, and deliver greater value to our customers," he added.