Elanco Animal Health (ELAN.N) has confirmed that it would buy Bayer’s (BAYGn.DE) veterinary drugs unit.
The cash and stock deal is valued at $7.6 billion. The purchase will create the second largest animal health business and widen Elanco’s scope in the pet e-commerce space.
Elanco said the deal is expected to close by mid-2020. Bayer would receive $5.3 billion in cash plus $2.3 billion in stock based on the unaffected 30-day average price as of August 6 and subject to a 7.5 percent symmetrical collar.