Full Press Release Details
Investor Contact: Tiffany Kanaga (302) 897-0668 or tiffany.kanaga@elancoah.com
Media Contact: Colleen Parr Dekker (317) 989-7011 or colleen.dekker@elancoah.com
Elanco Announces New Innovation
Leader, Additional Strategic Move to Increase Focus on High-Value, Late-Stage Pet Health Pipeline Progress
GREENFIELD, Ind. (Oct. 5, 2021) - Elanco Animal Health Incorporated
(NYSE: ELAN) today announced Ellen de Brabander, Ph.D., will become the new executive vice president of Innovation and Regulatory Affairs.
de Brabander brings a proven background of accomplishment in animal health research and development, including the development of parasiticide
blockbuster NexGard, as well as major vaccine products in Pet Health and Farm Animal. Current executive vice president Aaron Schacht will
lead the initiative to carve out Elanco's microbiome R&D platform as an independent biopharmaceutical company focused on developing
solutions for animal and human health. de Brabander joins Elanco on October 18 and will work with Schacht to ensure a seamless transition.
"We are delighted to welcome Ellen to Elanco's executive
team," said Jeff Simmons, president and CEO of Elanco. "She is a highly accomplished R&D leader with a proven track record
in animal health product development, and as a global innovation and regulatory leader within PepsiCo. She is ideally suited to drive
our late-stage pipeline execution as we focus on the next era of Pet Health growth in this attractive and growing market, ultimately building
on the strong foundation established during Aaron Schacht's tenure."
de Brabander joins Elanco from PepsiCo, serving as senior vice president
for R&D Technical Insights, Digital Solutions, and Compliance, with global responsibilities at the company. Additionally, de Brabander
spearheaded the company's R&D digital transformation.
Prior to PepsiCo, de Brabander spent nearly two decades in animal health
and pharmaceutical roles leading global R&D organizations at Merial (now Boehringer Ingelheim Animal Health), Intervet (now Merck
Animal Health), and the specialty chemical company DSM.
"I am energized to join Elanco and drive its robust pipeline
while we continue to build on the current early pipeline at such a pivotal time of growth and innovation for the company," said
de Brabander. "The team's innovation and purpose-driven culture matches my own for pursuing disruptive, high-impact solutions
to some of the world's greatest and most urgent challenges."
de Brabander earned her Ph.D. cum laude in bio-organic chemistry from
Leiden University in the Netherlands and completed post-doctoral work in molecular biology at the Massachusetts Institute of Technology
(MIT) in the group of Prof. Dr. H.G. Khorana, a Nobel laureate. She is the co-author of over 60 publications in scientific journals, holds
18 patents, and has received multiple awards for her research, including the Golden Medal from the Royal Dutch Chemical Society in 2000
for Best Chemist. Additionally, she was named to last year's National Diversity Council's list of Power 50 in the U.S.
2025 Innovation Revenue Expectation Remains Unchanged
Elanco reaffirmed its expectation of 2025 innovation revenue of $600
to $700 million. Elanco R&D is highly focused on delivering the pipeline that has progressed since the company's December 2020
Investor Day and now enhanced by the August acquisition of Kindred Biosciences, adding three potential dermatology blockbusters expected
to launch through 2025, as well as a number of additional R&D programs in sizeable and growing pet health markets like parasiticides,
pain, and biologicals, as well as for other chronic disorders and unmet needs, including canine parvovirus. The expectation of the $600
to $700 million in 2025 innovation revenue is supported by Elanco's eight launches this year, including Credelio Plus, Credelio
Microbiome Carve-Out
As an additional strategic move, Elanco intends to carve out its microbiome
R&D platform, aiming to create a privately funded, independent, biopharmaceutical company focused on developing solutions for animal
and human health. Elanco may retain a minority stake in this new entity. The potential carve-out is expected to be completed by the end
of the first quarter of 2022 and will be led by Schacht. J.P. Morgan is advising Elanco on its separation alternatives for the platform.
"We are grateful for Aaron's leadership to move this initiative
forward as we aim to carve out our early-stage microbiome R&D platform into an independent entity that focuses on both animal and
human health opportunities," said Simmons. "The move allows Elanco to further concentrate and focus our resources on our high-value
late-stage Pet Health pipeline, while our potential minority interest in a new entity would allow us to retain some upside in the longer-term
strategic area of the microbiome. Importantly, I'd like to thank Aaron for his work at Elanco during these past six years, bringing
us to the inflection point where we stand today."
"These announcements are yet another step for our strengthened
and expanded Innovation, Portfolio, and Productivity (IPP) strategy," added Simmons. "We are performing against our long-term
growth algorithm outlined at our December Investor Day and our teams are well-positioned to continue to drive consistent execution with
these long-term strategic actions enabling accelerated value creation."
Elanco Animal Health Incorporated (NYSE:
ELAN) is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease
in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders, and society as a whole. With nearly
70 years of animal health heritage, we are committed to helping our customers improve the health of animals in their care, while
also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and
Companionship Enriching Life and our Elanco Healthy Purpose Sustainability/ESG framework - all to advance the health of
animals, people and the planet. Learn more at www.elanco.com.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning
of Section 27A of the Securities Act of
1933 and Section 21E of the Securities Exchange Act of 1934 (Exchange
Act), including, without limitation, statements concerning our expectations relating to the initiative to separate the microbiome R&D
platform and our long-term financial expectations.
Forward-looking statements are based on our current expectations and
assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future,
by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result,
our actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause
actual results to differ materially from those in the forward-looking statements include regional, national, or global political, economic,
business, competitive, market, and regulatory conditions, including but not limited to the following:
For additional information about the factors that could cause actual
results to differ materially from forward-looking statements, please see the company's latest Form 10-K and Form 10-Q filed with
the Securities and Exchange Commission. Although we have attempted to identify important risk factors, there may be other risk factors
not presently known to us or that we presently believe are not material that could cause actual results and developments to differ materially
from those made in or suggested by the forward-looking statements contained in this press release. If any of these risks materialize,
or if any of the above assumptions underlying forward-looking statements prove incorrect, actual results and developments may differ materially
from those made in or suggested by the forward-looking statements contained in this press release. We caution you against relying on any
forward-looking statements, which should also be read in conjunction with the other cautionary statements that are included elsewhere
in this press release. Any forward-looking statement made by us in this press release speaks only as of the date thereof. Factors or events
that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake
no obligation to publicly update or to revise any forward-looking statement, whether as a result of new information, future developments
or otherwise, except as may be required by law. Comparisons of results for current and any prior periods are not intended to express any
future trends or indications of future performance, unless specifically expressed as such, and should be viewed as historical data.
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