Lilly has signed an agreement to acquire the European rights to a portfolio of certain Pfizer Animal Health products that include vaccines, parasiticides and feed additives used in both the production animal and companion animal markets. In return, Pfizer will receive an undisclosed upfront payment.

The products were previously marketed by Pfizer and Wyeth’s Fort Dodge operations. The European Commission requested that Pfizer divest these products as a result of its acquisition of Wyeth last year, including Wyeth’s Fort Dodge Animal Health business.

Elanco, Lilly’s animal health division, will acquire a manufacturing facility in Sligo, Ireland for the production of animal vaccines, and as part of the agreement, all Sligo employees will be offered positions with Elanco. Additionally, to ensure an uninterrupted supply of product, both companies have signed corresponding manufacturing supply agreements. Financial terms of the transaction were not disclosed.

“The addition of this attractive portfolio of products and a world-class manufacturing facility is a natural fit for Elanco and positions us well for sustained growth,” said Jeff Simmons, president, Elanco. “Through this acquisition, we will expand and diversify our European presence with new market-leading products, augment our growing portfolio of companion animal medicines, and acquire new biologic and vaccine capabilities. We are excited about these new opportunities to improve animal health and protein production, and deliver greater value to our customers.”