USA, Madison, NJ. Merck and privately held Antelliq Group announced that the companies have signed a definitive agreement under which Merck will acquire Antelliq from funds advised by BC Partners.
Antelliq will be a wholly owned and separately operated subsidiary within the Merck Animal Health Division. Merck will make a cash payment of approximately €2.1 bn. to acquire all outstanding shares of Antelliq and will assume Antelliq’s debt of €1.15 bn., which it intends to repay shortly after the closing of the acquisition.
Antelliq is a leader in digital animal identification, traceability and monitoring solutions, the fastest growing part of the animal health industry, with €360 mill. in sales in the 12-month period ending 30 September, 2018. These solutions help veterinarians, farmers and pet owners gather critical data to improve management, health and well-being of livestock and pets. The increasing use of digital technology in animal agriculture is driven by the growing demand for protein, food traceability and food safety. Identification and monitoring technologies will help optimize disease prediction and treatment and this acquisition will provide Merck Animal Health with a large, established customer base in both areas.
“Merck Animal Health is a leader in the animal health business and has delivered consistent above-market growth driven by a broad portfolio of innovative pharmaceuticals, vaccines and other value-added technologies and services. Antelliq’s people and products complement this portfolio by adding market-leading digital products, extending the range of solutions we can provide our customers and further driving the growth of our business,” said Kenneth C. Frazier, chairman and chief executive officer, Merck. “This acquisition is well aligned with our strategy to generate long-term growth and sustainable value for our customers and shareholders.”
Jean-Baptiste Wautier, chairman of Antelliq and partner at BC Partners commented, “Antelliq is a unique business which played a pivotal role in driving forward the convergence of the animal intelligence and animal health industries globally. We are proud of the transformation of the company that we initiated together with a fantastic leadership team over the past five years and believe that Merck is an ideal partner for Antelliq to support the next stage of its growth. As a truly innovative market leader with a clear vision and dynamic team, Antelliq has significant potential to continue leading the industry, as the use of intelligence, data and technology plays an increasingly important role in animal health and care.”
The closing of the transaction is subject to clearance by antitrust and competition law authorities and other customary closing conditions, and is expected to close in the second quarter of 2019. Merck was represented by Barclays and Centerview Partners and Antelliq was represented by Goldman Sachs International and Rothschild & Co.