CANADIAN-based biological veterinary products company Bioniche Life Sciences Inc is to sell its Bioniche's Animal Health business for $C61million to French company Vetoquinol.
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The deal is subject to Bioniche shareholder approval.
Vetoquinol is an independent, family-controlled business in the animal health sector serving both the livestock (cattle and pig) and dog and cat markets.
Bioniche Animal Health develops, makes and markets veterinary biopharmaceutical products worldwide.
It has North American facilities in Ontario, Canada, and Georgia and Washington in the US, and an Aus- tralian research and manufacturing facility focused on the equine market at Armidale.
Bioniche, founded by expatriate Australian veterinary products marketer Graeme McRae, was dual listed on the Australian Securities Exchange (ASX) and the Toronto Stock Exchange, but de-listed from the ASX on February 3 because of low level of local trades.
Bioniche Life Sciences began a formal process to divest its animal health business in May last year.
Chief executive Dr Michael Berendt said the divestment was the logical progression of its corporate strategy to create a well-capitalised company focused on human health.
"Our goal is the successful commercialisation of our Phase III bladder cancer therapy, Urocidin, and the addition of another oncology asset to our development pipeline," he said.
Vetoquinol's chief executive Matthieu Frechin said the Paris-listed company's acquisition was a new milestone in the implementation of a long-term strategic plan.
It would reinforce the company's portfolio of products with immediate synergies in Canada and the US.
Vetoquinol employs more than 1850 staff globally.