The purchase of Bodit Tachov, which is located in Stribro in the Czech Republic and produces neonatal and peri/post-partum feeds and supplements, will also give the UK producer additional manufacturing capabilities, said Ben Helm, commercial director, AB Neo, an AB Agri division.
He would not be drawn on the financial details of the deal.
“We have already launched two new products since AB Neo kicked off in November 2014. Buying Bodit provides us with a platform to accelerate that NPD work. We are looking at launching maternal support products that support the quality of offspring in the gestation period,” he told FeedNavigator.
Bodit, which has 24 employees, will continue to trade under that name. “We will probably look to increase the head count within AB Neo as we grow,” said Helm.
He said AB Neo, which only set up in November 2014, already had a working relationship with Bodit but the acquisition will allow it to ensure the Czech business “is completely strategically aligned with the growth objectives of AB Neo,” said Helm.
AB Neo, which currently has neonatal products targeting calve and piglet nutrition in its portfolio, will also be able to leverage Bodit’s access to farms. “They really have extensive experience of selling products directly to the producer,” said Helm.
“I know the term synergies is often bandied about when it comes to acquisitions but in this case there really are benefits to combining the two companies - Bodit gets extended geographical footprint and AB Neo acquires innovative technology from a proven, market leader,” added Helm.
Further acquisitions likely
Bodit is only the first in the pipeline of potential new assets, it seems. “We are in the acquisitive phase,” confirmed Helm.
The commercial director also reported significant interest from markets like Egypt and Iran in its cattle targeted Axcelera-C product, which was launched last month.
The UK producer has been collaborating with leading expert in the field, Alex Bach, head of ruminant production program at IRTA in Barcelona, to prove the Axcelera-C concept. That research, said Helm, indicates Axcelera-C “enables faster growth and rumen development in calves through earlier solid feed intake – a factor which allows the farmer to wean the animal earlier.”