Elanco Animal Health has disclosed the acquisition of a contract manufacturing facility and related assets in the United Kingdom. According to Elanco, this acquisition secures a critical component of its global supply chain for key farm animal products.
Elanco Animal Health Incorporated has acquired a contract manufacturing facility and related assets in Speke, UK. The facility, previously owned by TriRx Speke Ltd., was under trading administration, a formal insolvency process in the United Kingdom.
The Speke facility plays a vital role for Elanco in producing a number of farm animal product lines, representing approximately $160 million to $180 million in annual farm animal revenue, primarily outside the U.S. Elanco previously held a long-term supply agreement with TriRx Speke Ltd. This acquisition secures a critical component of Elanco’s global supply chain for key farm animal products. The company provided certain interim funding during the administration and paid $25 million in cash at closing to acquire the facility and related assets.
Having assumed site ownership, Elanco is working closely with the site leadership to support site operations. Aligned with the third quarter 2024 earnings release, the company continues to expect an adjusted EBITDA headwind related to this situation between $25 million and $35 million in 2025, primarily impacting gross profit.
