6th Jan 2020 08:32
(Alliance News) - Dechra Pharmaceuticals PLC on Monday said it has bought worldwide rights for Osurnia, a treatment for inflammation of the outer ear in dogs, for USD135 million.
The veterinary pharmaceuticals company has acquired the worldwide rights to the Osurnia product portfolio from Elanco Animal Health Inc. The company plans to fund the acquisition from existing cash and borrowing facilities.
Dechra is acquiring the worldwide marketing rights; the rights to the intellectual property; the marketing authorisations and associated regulatory documentation; supply contracts with third-parties in relation to the raw material and manufacture of the finished product; and some existing inventory of the product.
Dechra's acquisition of Osurnia is related to Elanco's acquisition of Bayer AG's animal health business, which is subject to regulatory approval from the European Commission and the Federal Trade Commission.
In 2018, Osurnia generated USD31.2 million in revenue. The acquisition is expected to be earnings enhancing to Dechra's year ending June 30, 2021, it said, assuming completion before the end of June 2020.
Ian Page, Dechra's chief executive, said: "We are delighted to acquire the worldwide rights to Osurnia. We are already present in the otitis externa space with Canaural and our range of ear cleaners. The addition of Osurnia will allow us to offer an extended range of solutions for veterinarians to manage otitis externa and offer the best treatment for the pet taking into consideration the veterinarians clinical preference and the owners lifestyle."
Dechra Pharmaceuticals shares in London were down 0.7% at 2,920.00 pence each on Monday.
By Tapan Panchal; [email protected]
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