Elanco Animal Health Incorporated has received a second request for information from the U.S. Federal Trade Commission (FTC) concerning its previously announced acquisition of Bayer AG’s animal health business.
The request was anticipated as part of the regulatory process under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and the review continues to progress as expected.
Elanco announced in August its intent to acquire the Bayer business. The proposed transaction is valued at US$7.6 billion
“We continue to work collaboratively with the FTC and other regulators around the world and are progressing as expected,” Jeff Simmons, president and CEO of Elanco, said in a press release. “We remain confident in our expectations that any related dispositions will be consistent with the underlying pro-forma financials referenced in our August acquisition announcement.”
Elanco believes that the combination of Elanco Animal Health and Bayer Animal Health will strengthen and accelerate Elanco’s Innovation, Portfolio and Productivity (IPP) strategy, advance the portfolio mix transformation and create balance between the food animal and companion animal segments, while expanding its presence in key emerging markets. Elanco continues to expect the deal will close in mid-2020.
The second request was issued under notification requirements of the Hart-Scott-Rodino (HSR) Antitrust Improvements Act of 1976, as amended. The effect of the Second Request is to extend the waiting period imposed by the HSR Act until 30 days after the parties have substantially complied with the request, though it is common for that period to be extended voluntarily by the parties or terminated sooner by the FTC.
Headquartered in Greenfield, Indiana, Elanco is a global animal health company that develops products and knowledge services to prevent and treat disease in food animals and pets in more than 90 countries.
Earlier in 2019, Elanco acquired Montreal-based Prevtec Microbia Inc., a biotechnology startup specializing in the development of vaccines that help prevent bacterial diseases in food animals.