Janssen Animal Health receives acquisition bid from Lilly

Janssen Animal Health has received a takeover bid from pharmaceutical company Lilly, owner of the Elanco veterinary medicines unit.

The irrevocable, unconditional offer would see Lilly take control of Janssen Animal Health from Johnson and Johnson and create a unified company with a strong European presence.

Should the deal be successfully completed, it would provide Elanco with a portfolio of around 50 companion animal and livestock health products, with a particular focus in the areas of swine and poultry.

Under the terms of the planned deal, all of Janssen's employees that are solely dedicated to the animal health business would transfer to Elanco.

Jeff Simmons, Lilly senior vice-president and president of Elanco, said: "The addition of Janssen's animal health business will strongly support a number of strategic growth priorities for Elanco, while providing synergies with our current operations."

The acceptance period for the offer will end in the second quarter of 2011, with Janssen now set to consult with works councils and trade unions over the deal.