Elanco Animal Health acquires Bayer’s veterinary drugs business for $7.6 billion

The cash and stock deal will see Elanco becoming the world’s second biggest animal health company and expand its footprint in the pet e-commerce space.

On Tuesday, Elanco Animal Health stated it would acquire Bayer’s veterinary drugs business in what is a cash and stock deal worth $7.6 billion. Following the deal Elanco will become the second biggest animal health business and it will expand its footprint in the pet e-commerce space.

The deal is expected to close by mid-2020, said Elanco.

In a joint statement both companies said, “Bayer would receive $5.3 billion in cash and $2.3 billion worth of Elanco stock based on the unaffected 30-day average price as of Aug. 6 and subject to a 7.5% symmetrical collar”.

Bayer went on to add, the price represents an implied multiple of 18.8 times adjusted core earnings.



Categories: Creativity, Entrepreneurship, HR & Organization, Strategy

Tags: , , , , , , , , , , , , ,

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: