USA – MSD Animal Health, commonly known as Merck Animal Health in North America, has completed its acquisition of Elanco’s aquaculture business, a move valued at US$1.3 billion.
This acquisition will enhance MSD Animal Health’s position as a leader in the aquaculture sector, significantly expanding its portfolio and capabilities in promoting health, welfare, and sustainability.
Jim McIntyre, vice president and head of global development at MSD Animal Health, emphasized the company’s strategic focus on aquaculture, driven by robust growth and increasing global seafood consumption.
“With the global middle class expanding and consumers gaining greater purchasing power, we’re seeing a notable rise in seafood consumption, particularly of salmon and shrimp,” McIntyre explained.
He further highlighted the company’s commitment to supporting customers in achieving their goals more sustainably and efficiently, noting aquaculture’s promise as a sustainable source of animal protein.
The acquisition adds 90 transformative products to MSD’s aquatic portfolio, including Clynav, a next-generation DNA-based vaccine that protects Atlantic salmon against pancreas disease (PD), and an anti-parasitic sea lice treatment.
Additionally, the deal includes water treatment products for warm water production, securing new facilities in Canada, Vietnam, and Chile.
“When I consider deals, I always think about their immediate impact and long-term benefits. This transaction instantly strengthens our portfolio for customers in cold and warm water spaces,” McIntyre explained.
He stressed the importance of innovative solutions for ongoing challenges in aquaculture, such as Salmonid Rickettsial Septicaemia (SRS), a problematic bacterial disease, and sea lice, a significant and costly problem for producers.
MSD Animal Health’s work in the oral vaccine space, particularly for high-value fish like salmon, is notable. McIntyre mentioned the potential of oral vaccination in tilapia production, which is more of a volume game than individual vaccination of smaller, lower-value fish.
Another key acquisition from Elanco is Imvixa, a well-regarded sea lice treatment used primarily in Chile.
The acquisition also strengthens MSD Animal Health’s presence in the shrimp sector, especially across Asia and Latin America.
“The shrimp industry is exciting because it’s a rapidly growing source of animal protein. The customer base is growing, and those producers are actively seeking solutions to enhance their overall productivity and sustainability,” McIntyre stated.
MSD Animal Health sees significant potential in surveillance technology, which allows for effective monitoring and quick response to challenges, such as the presence of sea lice or the identification of wounds.
The company aims to integrate this technological perspective into a comprehensive solution that includes vaccines for prevention, treatments for addressing issues, and ongoing monitoring technology.
In recent years, MSD Animal Health has augmented its aqua business with several strategic technology acquisitions, including Scan Aqua, Antelliq Corporation, and Vaki.
These acquisitions have provided key technologies and capabilities, such as passive integrated transponder (PIT) tagging and tracking, real-time video monitoring, and fish welfare equipment.
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