The Australian Competition and Consumer Commission (ACCC) has announced that Zoetis Holdings LLC’s proposed acquisition of Neogen Corporation’s global animal genomic testing business (Neogen Genomics) will face an in-depth Phase 2 assessment. The antitrust regulator expressed serious concerns that the transaction could substantially lessen competition in the supply of genomic testing services for both beef and dairy cattle in Australia.
According to ACCC Commissioner Dr. Philip Williams, the deal would merge the two largest suppliers of cattle genomic testing services in the country. The watchdog’s initial findings indicate that Australian farmers would have limited competitive alternatives at a similar scale, especially given the significant barriers to entry and expansion in the sector. Additionally, the ACCC is investigating the competitive implications of Zoetis gaining access to a massive volume and breadth of Australian cattle and sheep genetic data through the merger.
Animal genomic testing is a critical resource for the agricultural sector, allowing farmers to analyze DNA samples to identify key genetic traits such as milk production, meat quality, and disease resistance to optimize breeding and sales decisions. Zoetis, a US-listed global animal health firm, currently processes its Australian genomic tests in Michigan, while Neogen Genomics operates global facilities, including a key laboratory in Brisbane.
The acquisition was first notified to the ACCC on 12 May 2026, and the Phase 1 assessment period was subsequently extended in June at the request of the parties. Under the Competition and Consumer Act, the newly initiated Phase 2 review can take up to 90 business days to complete. The ACCC has not reached a final conclusion and is actively inviting submissions from interested parties in response to its Phase 2 Notice until 31 July 2026.