Thursday, December 29, 2005

Britian-based company Genus plc completed the acquisition of Sygen International on Dec. 2.

The move includes Sygen’s Franklin operations – the North America headquarters of PIC and laboratories for PIC and SyAqua.

PIC, which has been based in Franklin since 1973, is a leading international provider of genetically superior pig breeding stock and technical support for commercial pork producers. In 2003, Sygen moved a laboratory from Berkeley, Ca. to Franklin to provide research for swine (PIC) and freshwater shrimp (SyAqua) genetics. The Franklin operations employ about 180.

“We have no intention of changing any of our delivery systems and product development,” said Ian Biggs, Genus’ chief operating officer for the Americas. “We don’t want to disturb how these offices are run...We tend to leave individual operating units autonomous.”

Biggs said there could be cost-savings in merging two publicly traded companies. But, he noted that there is no customer overlap between Genus, PIC and SyAqua.

“It’s much more how do we grow the business,” Biggs said.

The acquisition transforms Genus into the largest animal genetics company in the world, with sector leading positions in cattle, pigs and shrimp. Before acquiring Sygen, Genus was the world’s leading bovine genetics company, distributing beef and dairy semen to farmers in 70 countries.

A prime objective of the acquisition is to put together the research and development activities of the two companies and to increase the prospects of producing future genetic products in line with customer’s ever more sophisticated demands, according to a press release from Genus.

The release said there will be no changes to relationships with customers, who will continue to be visited by their current contacts in Genus ABS (cattle), PIC (pigs) and SyAqua (shrimp).

“I am delighted we have been able to complete the acquisition of Sygen – a company with a superb reputation, both for its genetics products and the quality of its staff and the service they provide,” said Richard Wood, CEO of Genus.

“I believe the acquisition is in the best long-term interests of customers and staff of both companies, through providing continuity in their day-to-day dealings with each other and participation in a larger company. The combined company will be better placed to pursue R&D objectives to meet future customer needs and to provide enhanced employment opportunities for staff.”

The name Sygen will no longer be used, but Sygen’s trading brands – PIC (pigs) and SyAqua (shrimps) – will continue unchanged.

ABS and PIC run operations throughout the world. SyAqua is a business that breeds and rears warm water shrimps with operations in Mexico, Brazil and Thailand.

The deal gives Genus 16 business units in the Americas.