Animal medicines firm with Shrewsbury base takes stake in major anaesthetic maker
Animal medicines company Dechra has acquired an £11 million stake in an Australian company which specialises in pain relief for farm animals.
The deal will give the company, which has an important operation near Shrewsbury, a 33 per cent stake in Medical Ethics Pty Ltd, the parent company of Animal Ethics.
Animal Ethics was founded in 2005, and is aimed at improving animal welfare by reducing pain in farm animals during routine treatments such as castration, tail docking, debudding and dehorning, in various species.
It has developed a product called Tri-Solfen that is sprayed onto wounds to anaesthetise, relieve pain, control bleeding and protect against infection.
The company has also agreed a licensing deal which will allow it to sell the product all over the world, except in Australia and New Zealand.
Dechra chief executive officer Ian Page said: “Having been in dialogue with Animal Ethics for a number of years, I am delighted to have secured this long-term relationship.
"Once approved for major markets, Tri-Solfen significantly strengthens our FAP portfolio, will further our geographical expansion strategy and will enhance Dechra’s reputation of providing clinically necessary, high quality, ethical veterinary pharmaceuticals”.
The product's global market potential is conservatively estimated to be 300 million Australian dollars (£182 million), but an increasing focus on the ethical treatment of farm animals could see that figure exceeded once multi-species approval is achieved in the major markets.
That may come down in part to the work being conducted by Dechra at Sansaw Business Park near Hadnall, north of Shrewsbury, where a regulatory team works on getting new products into the UK market. The Shropshire base for the firm, which employs about 20 people, also has a marketing operation.
The development process is underway to register the product in global markets, with initial focus being for pigs in Europe and pigs and cattle in the USA.
The first registrations are targeted for approval in 2020.
Allan Giffard, managing director of Medical Ethics, added: “The investment by Dechra will accelerate Animal Ethics’ programme to develop urgently needed pain relief products for livestock animals globally.
"The partnership creates a wonderful opportunity for our company to pursue its mission to develop and deliver products that alleviate pain and minimise suffering associated with wounds and surgical procedures in livestock and companion animals and to progress Medical Ethics’ opportunity in humans.”
