Eli Lilly’s Elanco Invests US$100m In China Animal Healthcare
Elanco has announced a US$100 million investment to purchase a minority equity stake in China Animal Healthcare Ltd.
AsianScientist (Apr. 22, 2013) - Elanco, the animal health division of Indianapolis, Indiana-headquartered Eli Lilly and Company, has announced a US$100 million investment to purchase a minority equity stake in China Animal Healthcare Ltd., a leading player in the animal health industry in China.
Founded in 1996, China Animal Healthcare is engaged in the business of manufacturing, sale and distribution of animal drugs in China. It has over 500 types of treatment and non-treatment animal drugs which are distributed directly to approximately 4,900 animal drug retailers and 32 large poultry corporations throughout China, who in turn sell the drugs directly to farmers.
"At Elanco, we are committed to providing innovative solutions to enhance food production and companion animal care. In China, we are working with local stakeholders to improve the health and performance of animals and help to ensure a growing supply of safe, affordable, and abundant food," said Jeff Simmons, president, Elanco.
With global population expected to exceed nine billion in the next 40 years, some of the greatest growth – about 750 million – will come from Asia, driving significant demand for meat, milk, and eggs. By the end of this decade the United Nations Food and Agriculture Organization predicts about 25 percent of the production growth for meat will come from China alone.
"In the past few decades China's government has made significant strides to reduce poverty and improve food security, resulting in unprecedented growth of a middle class that demands a safe, high-protein, affordable diet," said Eduardo Lopes Alberto, Elanco Country Director in China. "Elanco and China Animal Healthcare are well positioned to help China meet this demand by further working to enhance animal health and productivity."
This investment expands Elanco's commitments in China, including a R&D hub in Shanghai, veterinary scholarships at four agricultural universities, and a collaboration with Heifer International in Weichang County in Hebei Province.
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