According to Jeff Simmons, president of Elanco, the acquisition is part of the company's strategy to expand its portfolio in food production. "Elanco is committed to being part of the effort to improve food productivity in next 50 years, and enzymes will be a big part of that," said Simmons. "Our job as a company is to bring science and technology to producing more meat, milk and eggs."
ChemGen will continue research and administrative options at its headquarters in Gaithersburg, Md., and manufacturing at its Terre Haute, Ind., facility. Bernie Treidl, president of ChemGen, will remain with the company and be an integral part of the new structure under Elanco. "Our customers are large companies to small farms around the world," said Simmons. "We are very impressed and excited about what we can do with this acquisition of ChemGen, with its tremendous platform of science and products."
The transaction is expected to close in the first quarter of 2012.
Watch a video of Simmons discussing the acquisition.