September 3, 2007

Neogen acquires Kane Enterprises
 

Press release
 

Neogen Corporation announced Aug 27 that it has acquired Kane Enterprises, Inc., a leading manufacturer and marketer of animal health products.

Based in South Dakota, US, Kane Enterprises markets its products through a network of more than 200 distributors in the United States and Canada. Known for its AG-TEK veterinary product line, Kane Enterprises recorded revenues of about US$6 million in its recently completed fiscal year (Sep 2006).

Terms of the acquisition included US$5.8 million in cash and a contingency should sales of the acquired products exceed a set level.

Kane's operations will be relocated to and integrated with Neogen's facilities in Lexington, Kentucky.

Lon Bohannon, Neogen's president, said the AG-TEK products are "a nice fit" with Neogen's veterinary instruments line. The Kane purchase also provides Neogen with important synergistic sales opportunities within the dairy industry, added Bohannon.

"We are very proud of the reputation Kane Enterprises has built in our 31 years of operation," said Kevin Kane, Kane Enterprises' president, who will join Neogen with the acquisition.

Established in 1975, Kane Enterprises has grown into an international company with over 100 different products imported from eight countries and sold in over 12 nations. A few of its leading products include the AG-TEK veterinary obstetrical artificial insemination gloves, bovine hoofcare, and surgical supplies.

Neogen Corporation develops and markets products dedicated to food and animal safety. The company's Animal Safety Division markets a complete line of diagnostics, veterinary instruments, veterinary pharmaceuticals, nutritional supplements, disinfectants, and rodenticides.