Eli Lilly unit offers to buy Janssen Animal Health business

US drug major Eli Lilly’s (NYSE: LLY) animal health division Elanco has made an irrevocable, unconditional offer to acquire the animal health business of Janssen Pharmaceutica NV, a Johnson & Johnson (NYSE: JNJ). Financial terms of the bid have not been disclosed.

The two companies have notified the appropriate European works councils of their intentions. Headquartered in Beerse, Belgium, Janssen's animal health business is primarily European-focused, targeting disease segments in companion animals and livestock, with special emphasis on swine and poultry.

On closing of the deal, Elanco would obtain a portfolio of about 50 marketed animal health products. As part of the proposed agreement, Janssen employees solely dedicated to the animal health business will transfer to Elanco. No manufacturing facilities would be included in the transaction. Completion of the acquisition is contingent on clearance from European regulatory authorities and is subject to other customary closing conditions.