Inotiv, Inc. (NASDAQ: NOTV) disclosed that it has purchased the Rabbit Breeding And Supply Business of Robinson Services Inc. (RSI) which is a North Carolina-based provider of high-quality animal models. The acquisition is another step in Inotiv’s strategic plan for establishing its Research Models and Services (RMS) business.
NOTV disclosed that the purchase of RSI’s rabbit breeding capacity will further improve its plan to enhance the global footprint of the RMS business. The company believes that it will accomplish its plans by taking advantage of current capabilities and network capacity to offer the widest range of options to its clients.
Furthermore, the purchase agreement is comprised of the acquisition of certain assets used by RSI in the purchased business. It includes the RSI customer list, a pledge not to play rival from RSI, and a one-year supply agreement for rabbits to be submitted by RSI to Inotiv, which is dependent on the extension by mutual agreement. Inotiv is intended to merge the RSI business into current Inotiv facilities during 2022.
In addition, "After delivering services and capabilities in this field for over 35 years, we decided to present great, ongoing service to our loyal clients with our decision to step down from this part of our business," said RSI's Chief Executive Officer. I'm convinced that this collaboration with Inotiv will accomplish that, as well as provide our customers with access to the full scope and scale of Inotiv's complete study and development solutions."