LANSING, Mich., June 10 /PRNewswire-FirstCall/ -- Neogen Corporation (Nasdaq: NEOG) announced today the formation of its new subsidiary in Mexico, Neogen Latino America SPA. The new company, headquartered in Mexico City, will distribute the company's food and animal safety products throughout Mexico.
Neogen Latino America unifies Neogen's widespread business activities throughout Mexico to animal and crop producers, and food processors. The new company will also work with the United States and Mexico on programs to ensure the safety of food products that move across the border from either country. As a result of nearly 20 years of use, Neogen products have earned the trust of Mexican producers of meat and milk, and food processors.
"Much as we did earlier with the acquisition of our Scottish and German food safety distributors, we now see an opportunity to greatly strengthen our presence in Mexico," said Lon Bohannon, Neogen's president. "We believe Mexico continues to hold unrealized opportunities for sales growth."
Approximately $40 million of Neogen's FY 2008 revenue came from international sources.
Neogen's new company will start business with a revenue base of over $2 million (U.S.) that came from multiple sources in FY 2008. Jose Noriega, the former president of Biotecnologia Industrial, will manage the new company and own a minority interest.
"We are pleased to have Jose head the new company and direct our expansion," said Bohannon. "We have enjoyed a close relationship with him for 20 years as a distributor of Neogen's food safety products."
Neogen Corporation develops and markets products dedicated to food and animal safety. The company's Food Safety Division markets dehydrated culture media, and diagnostic test kits to detect foodborne bacteria, natural toxins, genetic modifications, food allergens, drug residues, plant diseases and sanitation concerns. Neogen's Animal Safety Division markets a complete line of diagnostics, veterinary instruments, veterinary pharmaceuticals, nutritional supplements, disinfectants, and rodenticides.
Certain portions of this news release that do not relate to historical financial information constitute forward-looking statements. These forward-looking statements are subject to certain risks and uncertainties. Actual future results and trends may differ materially from historical results or those expected depending on a variety of factors listed in Management's Discussion and Analysis of Financial Condition and Results of Operations in the Company's most recently filed Form 10-K.
|SOURCE Neogen Corporation|
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