Neogen trades cleaners, disinfectants business for US$130 million
Kersia, the buyer, is a biosecurity and food safety solutions provider, championing prevention of diseases and contamination, in animals and humans at every stage of the food supply chain.
USA – Neogen Corporation, an innovative leader in food and animal safety solutions, has announced the sale of its global cleaners and disinfectants business to Kersia Group, for US$130 million in cash at closing, with performance-based contingent payments.
Kersia is an innovative biosecurity and food safety solutions provider, combining products (detergents, disinfectants, animal feed additives, etc.) and services (hygiene protocols, troubleshooting, training, etc.) to prevent disease and contamination of animals and humans at every stage of the food supply chain.
This transaction is expected to improve margins and to close in the first quarter of the Company’s 2026 fiscal year, subject to customary closing conditions and regulatory approval.
The net proceeds will be used to fully repay the US$100 million drawn on Neogen’s revolving credit facility in the recent term loan refinancing. The divestiture is expected to reduce the Company’s net leverage ratio by approximately 0.4x on a pro forma basis.
In a statement, John Adent, president and CEO of Neogen, remarked, “The sale of our cleaners and disinfectants business further focuses Neogen on food safety diagnostics and continuing to build on our leadership position in what we believe is an attractive end market with long-term tailwinds.”
With approximately US$60 million in annual revenue, Neogen’s broad range of cleaners and disinfectants has a global presence. It is formulated to provide the highest quality cleaning and disinfection, as well as the broadest efficacy for use in a range of livestock applications, including swine, poultry, and ruminant operations.
“The cleaners and disinfectants business has been a strong contributor to our Animal Safety segment, and Neogen is committed to a smooth transition for customers, employees and other stakeholders. We expect Kersia’s prioritisation of investment and growth in the biosecurity market will benefit the business and provide sharpened strategic focus to maximise its potential for continued growth,” He reiterated.
Neogen’s cleaners and disinfectants business is present in the United States, the United Kingdom, Europe, and in more than 50 countries, including China, Mexico, Brazil, and Australia, and is supported by over 120 employees.
With a presence in more than 120 countries, over 3,000 employees and sales of €630 million (US$714 million), Kersia is actively investing in research to anticipate changes in microbiological contamination and tomorrow’s food safety needs, which are set to accelerate as a result of climate change.
With this acquisition, Kersia will expand its presence in the North American pork and poultry sector, doubling its activity.
“We are very pleased to welcome Neogen’s cleaners and disinfectants business to the KERSIA Group. Being used to such transactions and equipped with a dedicated process for a smooth and efficient integration, we are keen to appropriately welcome the collaborators within the business,” remarked Sébastien Bossard, CEO of Kersia.
He further expressed confidence in Neogen’s expertise, experience, and the wide range of products in the business, which perfectly complement their existing solutions, capabilities, and skills. He emphasised that the move will be a crucial step in enabling KERSIA to serve its clients better in the US and abroad.
“Together, we will pursue our mission to ensure food safety across the food chain,” Sébastien Bossard remarked.
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