Eli Lilly's Elanco snags Novartis' animal health unit in $5.4B deal

When Novartis ($NVS) said it would take a hard look at its smaller business units, analysts quickly zeroed in on the Swiss drugmaker's animal health business. Too small to dominate in its market, the unit seemed ripe for divestment. Plus, it had some product-supply problems, thanks to manufacturing violations at a Nebraska plant. And the analysts were right: Novartis has agreed to sell its veterinary products business to Eli Lilly ($LLY), whose Elanco unit is among the biggest players in animal health, for about $5.4 billion. Release | Report