Mergers & Acquisitions: Eli Lilly Acquires Novartis Animal Health

Date: April 22, 2014

Buyer: Eli Lilly

Seller: Novartis Animal Health

Price: $5.4 Billion

Terms: Acquisition

On April 22nd Novartis Animal Health was sold to Eli Lilly. Eli Lilly  purchased Novartis Animal Health for a whopping $5.4B in cash, which is the second-largest deal in the company’s history.  The acquisition will diversify Lilly’s existing animal health business by folding the $1.1-billion-in-revenue Novartis Animal Health into its Greenfield-based Elanco division, making it the world’s second-largest animal health company by revenue.  Novartis will greatly expand and complement Elanco’s product portfolio, R&D and manufacturing capabilities, and commercial presence in key geographies.

“Animal health continues to represent an attractive growth opportunity for Lilly. We intend to keep Elanco and to take advantage of the substantial synergies between our animal health and human health businesses,” Eli Lilly CEO John Lechleiter said in a prepared statement.

Read Full Post »

Mergers & Acquisitions: Mars Inc. Acquires Iams, Eukanuba, and Natura brands from P&G

Date: April 10, 2014

Buyer: Mars Inc.

Seller: Iams, Eukanuba, and Natura brands

Price: $2.9 Billion

Type: Acquisition

On April 10th Mars purchased Iams, Eukanuba, and Natura brands from Procter & Gamble for a total of $2.9B. The transaction is expected to be fully completed during the second half of 2014. The global president of Mars Petcare, Todd Lachman, believes the acquisition is very strategic and a perfect fit with Mars Petcare’s vision of making “a better world for pets.” This acquisition further expands the Mars’ billion-dollar pet care division, which already includes Banfield Pet Hospitals, Royal Canin, Pedigree and Whiskas.  The acquisition gives Mars Petcare approximately 80 percent of P&G Pet Care’s global sales.

Procter & Gamble’s President and CEO, A.G. Lafley, believes exiting pet care will allow P&G to focus on the core businesses that will create the most value for consumers and shareholders.

 

Read Full Post »