Bayer HealthCare acquires animal health unit from Teva

Bayer HealthCare has announced the acquisition of Teva Pharmaceutical Industries' US animal health business, thus allowing it to expand its companion animal and food animal product lines.

The $145 million (89.25 million pounds) deal includes an upfront fee of $60 million, plus a total of $85 million in milestone payments that depend on the achievement of sales and manufacturing targets.

By purchasing the business, Bayer will gain access to a strong anti-infectives franchise, including dermatological, pet wellness and nutraceutical products, with brands including Malaseb, HyLyt, Relief and Synovi.

The deal is expected to close next year and will also include a manufacturing site in Missouri, plus around 300 members of staff.

Dr Joerg Reinhardt, chief executive officer for Bayer HealthCare, said: "Teva's animal health business is a great strategic fit that allows us to strengthen and broaden our range of animal care solutions for our customers."

This comes after Bayer HealthCare agreed a deal to bring Norbrook Laboratories' product range to France and Germany last month.