April 17, 2019

Vetoquinol completes acquisition of Brazilian vet laboratory

Vetoquinol (Paris:VETO) has completed the acquisition of Clarion Biociências, a Brazilian veterinary laboratory based in the state of Goiás.

Founded in 1998, Clarion Biociências develops, manufactures and distributes veterinary medicine and non-medicinal products primarily targeting the livestock market. Due to its geographical presence at the heart of Brazil's bovine breeding area, the laboratory enjoys a strong market share in the bovine segment (which accounts for more than half of the Brazilian animal health market), in particular with internal and external parasiticides (Contratack®, Novatack®, Eprino, Fiprotack®, Altis). The company has been recording a solid growth for over three years, fuelled by the success of the launches of differentiated products and the strengthening of its sales team. Sales are expected to show a strong performance this year.

With this acquisition, the Vetoquinol Group significantly strengthens its foothold in Brazil, the world's third largest animal health market. Vetoquinol first entered the market in 2011 with Vetoquinol Saúde Animal; the Group has since been focused on the development of its Essentials products for beef and dairy cattle, for swine and for companion animals. Clarion Biociências has a strong product pipeline close to being launched in both bovine and companion animal markets; some of these products will also be launched in the swine market in which Clarion Biociências is currently not playing; all of these promising projects together with the underlying Vetoquinol projects are expected to generate some substantial commercial synergies.

"We are delighted to have closed this acquisition and to welcome the Clarion Biociências employees onboard, especially its current General Manager whose role is essential in the development of this laboratory," says Vetoquinol CEO Matthieu Frechin.

"We have been seeking to strengthen our business on this strategic market where our presence has been weak so far; Brazil is the world's number one bovine meat producer and exporter," Frechin adds.

According to Frechin, Vetoquniol has plans to "join the top 15 players in Brazil with further ambitions for the future".