LANSING – Biotechnology company Neogen Corp, which has been in Lansing for 40 yearsannounced the completion of the merger with the food safety business of the multinational group 3M.
The deal was first announced in December 2021 The completion was announced Thursday.
The merger means that Neogen will significantly expand its food safety product offerings, particularly in the areas of indicator testing and pathogen detection, which complement its existing microbiology lines, According to the Neogen website.
“This is the beginning of a new era for all of us at Neogen as we come together to create an innovative leader at the forefront of food security,” John Adent, President and CEO of Neogen, said in a video posted on the company’s website.
Neogen said the merger would not have an immediate impact on either company’s operations or how customers interact with it.
As part of the terms of the merger agreement, additional directors will be appointed to the Neogen Board of Directors, increasing the board to 10 members.
Under the terms of the merger, involving a tax-exempt “Reverse Morris Trust” structure, Existing Neogen shareholders will continue to own approximately 49.9% of the combined company and 3M shareholders will own approximately 50.1% of the combined company, according to the merger press release.
3M .’s Previous Food Safety Work Offers a wide range of food safety testing solutions that support numerous industries in the food and beverage sector, helping producers prevent and protect consumers from foodborne illnesses. According to the release, the company has built a wide global presence with products used in more than 60 countries and 100,000 customers.
Founded in Lansing in 1982, Neogen develops and markets products intended for food and animal safety. The company employs 1,794 employees worldwide, has annual revenues of $450 million and has plants in Wisconsin, North Carolina, Tennessee, California, Iowa and Scotland.
Combined, Adent said these two companies have created one company united by a vision to play a major role in enhancing the safety, quality and quantity of the global food supply.
“Now, more than ever, food safety testing solutions are of paramount importance to prevent and protect consumers from foodborne illness,” he said. “And with 3M Food Safety, we will continue to expand our global presence to serve customers around the world.”
In late August, Neogen also received more than $1.9 million in state incentives for a $71.5 million expansion of Lansing.
The company plans to redevelop approximately 2,568 acres, centered around the construction of a three-story 176,000-square-foot manufacturing and research building on East Shiawassee Street, adjacent to its other facilities.
The project is expected to create approximately 77 new full-time jobs at an average hourly wage of $23.16. The project was scheduled to begin this month, with completion expected in December 2023.
Contact Bryce Airgood at 517-267-0448 or firstname.lastname@example.org. follow her Twitter @bairgood123.