Neogen Corp Stock Price, News & Analysis

NEOGEN Corporation has introduced the K-Blue Luminescent substrate, enhancing its K-Blue product line, which now offers a high-sensitivity, two-component solution for laboratories. This substrate achieves excellent light emission at 430 nanometers and maintains a low background, making it suitable for various HRP concentrations. It complies with strict regulatory standards and is manufactured under an ISO 9001 quality system, ensuring reliable results. NEOGEN continues its commitment to providing high-quality testing solutions for food and animal safety.

Neogen Corporation (NASDAQ: NEOG) reported second-quarter fiscal 2022 results with revenues of $130.5 million, a 13% increase compared to the previous year. Notable growth in their Food Safety and Animal Safety segments contributed to this success. However, net income fell to $10.8 million, down 31.8% year-over-year, largely due to $9.3 million in professional fees related to the acquisition of 3M's Food Safety business. Operating expenses rose 42% year-over-year, prompting concerns regarding ongoing costs as they prepare for the integration of the acquired business.

NEOGEN Corporation (NASDAQ: NEOG) and 3M (NYSE: MMM) announced a transaction to separate 3M's Food Safety business, valued at approximately $5.3 billion, and combine it with NEOGEN. This merger aims to create a leading innovator in food safety, increasing NEOGEN’s revenue from this segment to approximately 70% of total revenue. Pro forma revenues are projected to reach $1 billion in the first full year post-closing, with anticipated synergies of $30 million in EBITDA. The transaction is expected to close by Q3 2022.

NEOGEN Corporation (NASDAQ: NEOG) has acquired Spokane-based Genetic Veterinary Sciences, Inc. (GVS), enhancing its portfolio in companion animal genetic testing. Founded in 2012, GVS offers genetic testing solutions for dogs, cats, and birds. NEOGEN aims to capitalize on the growing demand for pet genetics due to rising pet ownership. The acquisition supports NEOGEN's strategy to diversify its genomic offerings within agriculture and food production.

NEOGEN Corporation (NASDAQ: NEOG) announced the acquisition of Delf (UK) Ltd., a UK-based manufacturer of animal hygiene and cleaning products. Founded in 1928, Delf specializes in specialty chemical products and is a member of the Iodine Registration Group, enabling it to supply iodine-based biocides to the UK and EU markets. This acquisition aims to enhance NEOGEN's offerings in dairy chemicals, leveraging Delf's expertise in the UK dairy hygiene market. Terms of the transaction remain undisclosed.

NEOGEN Corporation (NASDAQ: NEOG) has received approval from the Organic Materials Review Institute (OMRI) for its AquaPrime® NeoKlor and BioSentry® AquaPrime Activator, confirming compliance with Canadian Organic Regime regulations. This allows NEOGEN to offer a chlorine dioxide water treatment system suitable for organic livestock producers in Canada. AquaPrime NeoKlor, a 7.5% sodium chlorite solution, improves the taste and odor of drinking water for various livestock species. The AquaPrime Activator enhances these properties and serves as a pH adjuster.

NEOGEN Corporation (NASDAQ: NEOG) has renewed its sponsorship agreement with the National FFA for the 2022 Supervised Agricultural Experiences (SAE) Grants. NEOGEN will donate $2 for every bottle of Prozap® StandGuard® sold from October 1, 2021 to March 31, 2022, up to $250,000. This initiative will fund $1,000 grants for students involved in agricultural programs. NEOGEN's President, John Adent, emphasized the company's commitment to cultivating future leaders in agriculture through this partnership.

NEOGEN Corporation (NASDAQ: NEOG) has partnered with Hendrix Genetics to enhance genomic selection in the Sustainable Access to Poultry Parent Stock in Africa (SAPPSA) program. This collaboration aims to optimize breeding programs for SASSO breeds, adapting them to the unique challenges of Sub-Saharan Africa, such as climate and diseases. The SAPPSA initiative, funded by a multi-year grant from the Bill & Melinda Gates Foundation, seeks to support smallholder farmers by improving poultry stock quality, thereby increasing nutrition and income potential.

NEOGEN Corporation (NASDAQ: NEOG) has enhanced its marketing tool for cattle producers with the Igenity Branded program. Launched in 2019, this program allows producers to market calves using NEOGEN's Igenity genomic profiles, which assess genetic merit across various traits. Calves tested through this program have achieved an average premium of over $59 per head during the summer sales season. To qualify as Igenity Branded, at least 35% of a producer's calf crop must be tested. This initiative aims to help cattle feeders manage risk by predicting performance before purchase.