Elanco Animal Health Incorporated (“Elanco”) (ELAN:NYSE), a global leader in animal health, and Tonisity International Limited (“Tonisity”), an animal health and nutrition company based in Ireland, have entered into a Distribution and Promotion Agreement in respect of Tonisity’s novel, gut enhancing porcine products, Tonisity Px™ and Tonisity PxW™ (hereinafter referred to as “Swine Products”).

Distribution and Promotion Agreement

Under the terms of the Distribution and Promotion Agreement, Elanco will act as exclusive distributor of Tonisity’s Swine Products in Brazil, Belgium, Denmark, France, Germany, Norway, Portugal, Spain, Sweden, and The Netherlands. As exclusive distributor, Elanco will be responsible for marketing, promotion and distribution and sale of the Swine Products in these markets. The specific transition timelines to a distribution via Elanco in early 2023 are currently being elaborated. Both Elanco and Tonisity have agreed to explore collaboration opportunities in other markets, when appropriate. The addition of Tonisity’s Swine Products to Elanco’s portfolio fits perfectly with Elanco’s strategy of promoting the intestinal health of animals, improving their overall health and leading to a more efficient production, providing its customers an innovative product portfolio.

About Tonisity’s Swine Products

Tonisity Px™ is a patented isotonic protein drink that directly feeds the intestinal cells of livestock, such as piglets. This accelerates and increases the absorption of all nutrients into the body of the animal. Tonisity Px™ is administered to piglets in the first week of life and around weaning and is voluntarily consumed even by newborn piglets. The result is higher weight gain, lower mortality and less need for medications for these animals – all producing a high return on investment for producers.

Tonisity is dedicated to research and has completed nearly 200 swine trials throughout the world. In studies examining pre-weaning morality, Tonisity Px™ reduced pre-weaning mortality by 20% which amounts to an extra pig for every three litters. Administration of Tonisity Px™ also resulted in higher weaning weights and 3 kg extra weight at finisher stage, with an improved feed conversion rate. This technology results in a reliable 3:1 return on investment (5:5-1 in a recent China study^[1]) at weaning and 5-6:1 at finishing.^[2]

Tonisity PxW™ contains the same key bioactives aimed at nourishing the intestine and is delivered through ordinary waterlines to newly-weaned pigs, with no extra labour required. The weaning period and the first 2-3 weeks after weaning are a major danger period for pigs. Often, newly-weaned pigs struggle to maintain sufficient water intake. Reduced water intake correlates to reduced feed intake, which creates a growth lag and contributes to morbidity and mortality.^[3],[4]

Tonisity PxW™ improves water intake by up to 2 times in the first few days after weaning. Pigs given Tonisity PxW™ for five days post-weaning had a 36% reduction in post-weaning mortality and a 18% decrease in post-weaning morbidity. Tonisity PxW™ has also been shown to improve end-Nursery weights by 300 grams when compared to a competitor product[5]. Trials indicate that the return on investment on Tonisity PxW™ is a minimum of 4.5:1.

The Tonisity Products can also be given to pigs of any age at other stress points in production, such as weaning, before and after transport, and for sows, at farrowing or during lactation. While both products have been demonstrated to improve the performance of healthy pigs, trial data also shows that they are particularly useful in support of dehydration and recovery from illnesses such as Porcine Reproductive and Respiratory Syndrome and Porcine Epidemic Diarrhea Virus.^[6]

Tonisity’s Swine Products are patented in all key markets and are currently being sold in Europe, Africa, Asia, North America, South America and Australia. Currently, the Isotonic Swine Products are manufactured in Ireland.

[1] China study 21-024-P-P

[2] USA Study 18-014-P-P (PWM -22.8% & final weight +3.2 %): ROI = 3.2:1 at weaning and 5.9:1 at finishing;

UK Study 20-002-P-P (PWM -21% & final weight +2.5 %): ROI = 3.3:1 at weaning and 8.6:1 at finishing.

USA Study 17-061-P-P in disease situation (PRRS): ROI = 7.05:1

[3] Pluske J, Le Dividich J, Verstegen M. Weaning the Pig - Concepts and Consequences. Weaning pig Wageningen Academic Publishers, 2003.

[4] Kruse S, Traulsen I, Krieter J. Analysis of water, feed intake and performance of lactating sows. Livest Sci 2011;135:177–183.

[5] US Study 20047-P-P

[6] Trials 17-061-P-P USA, 20-038-P-P USA