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Merck Animal Health Completes Minority Investment in LeeO Precision Farming

By: via Business Wire

Digital swine traceability solution tracks swine throughout their lifecycle

Investment complements Merck Animal Health’s broad portfolio of veterinary pharmaceuticals, vaccines and technology solutions

Merck Animal Health, known as MSD Animal Health outside of the United States and Canada, a division of Merck & Co., Inc., Rahway, N.J., USA (NYSE: MRK), announced today that it has completed a minority investment in LeeO Precision Farming B.V. (LeeO). Merck Animal Health also will assume distribution of LeeO’s digital swine traceability solution in selected markets over the coming months. Merck Animal Health joins LeeO’s existing founders and shareholders, Prairie Systems, Inc., a strategic investment of United Animal Health, Inc., and MIQ B.V. Specific terms of the minority investment were not disclosed.

LeeO, a privately held company located in Deventer, the Netherlands, provides a cloud-based, real-time digital swine traceability solution for farmers, producers and retailers to continuously track and analyze swine from birth throughout their lifecycle. The cloud-based technology platform provides users with the capability to record and track major life events in swine production, including genetics, insemination, birth registration, vaccination, age, weight, weaning, location and transportation. The platform is supported by an ecosystem of RFID-based hardware technology, such as ear tags, readers and weigh scales.

“Through this agreement, we are linking Merck Animal Health’s breadth and depth in animal health intelligence technology solutions with LeeO’s innovative digital swine traceability platform, which can help to change the way all phases of swine production interact and make decisions,” said Jeroen van de Ven, lead, Animal Health Intelligence, Merck Animal Health. “Our animal health solutions, including our identification, traceability and monitoring capabilities, and investment in LeeO will help accelerate this technology development and advance the health and well-being of animals. We look forward to our partnership with LeeO and to continue to build the future of livestock traceability solutions, which can further create a connected and integrated ecosystem for the global livestock market.”

LeeO Chief Executive Officer Peter ter Linde said, “This investment from Merck Animal Health is an exciting development for LeeO and will be used to fuel our growth and investment in our leading digital animal traceability solution for swine. It also signals Merck Animal Health’s ongoing commitment to swine health, well-being and management and laser focus on accelerating animal traceability solutions in livestock to improve animal health. We believe Merck Animal Health’s investment will further accelerate the growth and value of our company.”

“Adding Merck Animal Health to the ownership of LeeO will certainly allow for growth at a faster pace, which is great for the swine industry,” said Doug Webel, Ph.D., president and chief executive officer of United Animal Health, Inc., a strategic partner of LeeO for food chain visibility and analytics. “We view this agreement as a key step to advancing this technology and animal traceability for better animal health.”

Evidence-based animal traceability solutions have helped to safeguard and strengthen the integrity of the food supply chain. Traceability solutions, such as LeeO’s digital traceability platform, provides customers with information that identifies and traces the origin, history, production and distribution throughout the lifecycle of the pig to validate sustainability claims by detailing how animals are raised and processed.

About Merck Animal Health

At Merck, known as MSD outside of the United States and Canada, we are unified around our purpose: We use the power of leading-edge science to save and improve lives around the world. For more than a century, we’ve been at the forefront of research, bringing forward medicines, vaccines and innovative health solutions for the world’s most challenging diseases. Merck Animal Health, a division of Merck & Co., Inc., Rahway, N.J., USA, is the global animal health business of Merck. Through its commitment to The Science of Healthier Animals®, Merck Animal Health offers veterinarians, farmers, pet owners and governments one of the widest ranges of veterinary pharmaceuticals, vaccines and health management solutions and services as well as an extensive suite of connected technology that includes identification, traceability and monitoring products. Merck Animal Health is dedicated to preserving and improving the health, well-being and performance of animals and the people who care for them. It invests extensively in dynamic and comprehensive R&D resources and a modern, global supply chain. Merck Animal Health is present in more than 50 countries, while its products are available in some 150 markets. For more information, visit www.merck-animal-health.com and connect with us on LinkedIn, Facebook, Twitter and Instagram.

Forward-Looking Statement of Merck & Co., Inc., Rahway, N.J., USA

This news release of Merck & Co., Inc., Rahway, N.J., USA (the “company”) includes “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based upon the current beliefs and expectations of the company’s management and are subject to significant risks and uncertainties. If underlying assumptions prove inaccurate or risks or uncertainties materialize, actual results may differ materially from those set forth in the forward-looking statements.

Risks and uncertainties include but are not limited to, general industry conditions and competition; general economic factors, including interest rate and currency exchange rate fluctuations; the impact of the global outbreak of novel coronavirus disease (COVID-19); the impact of pharmaceutical industry regulation and health care legislation in the United States and internationally; global trends toward health care cost containment; technological advances, new products and patents attained by competitors; challenges inherent in new product development, including obtaining regulatory approval; the company’s ability to accurately predict future market conditions; manufacturing difficulties or delays; financial instability of international economies and sovereign risk; dependence on the effectiveness of the company’s patents and other protections for innovative products; and the exposure to litigation, including patent litigation, and/or regulatory actions.

The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the company’s Annual Report on Form 10-K for the year ended December 31, 2021 and the company’s other filings with the Securities and Exchange Commission (SEC) available at the SEC’s Internet site (www.sec.gov).

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