Acquisitions and Divestitures

6 Months Ended

Jun. 30, 2020

Business Combinations [Abstract]

Acquisitions and Divestitures

5. Acquisitions and Divestitures

A. Acquisitions

Other Acquisitions

In the second quarter of 2020, we completed the acquisition of Performance Livestock Analytics, a cloud-based technology company in the precision livestock business. We also entered into an option purchase agreement as part of a research and development arrangement with a Belgian company, a variable interest entity of which Zoetis is the primary beneficiary and now consolidating within our results. In the first quarter of 2020, we completed the acquisition of Ethos Diagnostic Science, a veterinary reference laboratory business with labs across the U.S. These transactions did not have a significant impact on our consolidated financial statements.

During 2019, we completed the acquisitions of Platinum Performance, a nutrition-focused animal health business for companion animals and Phoenix Lab and ZNLabs, both full service veterinary reference laboratory companies with networks of labs across the U.S. These transactions did not have a significant impact on our consolidated financial statements.

B. Divestitures

During the six months ended June 30, 2020, we received cash proceeds of $20 million resulting from a payment received pursuant to an agreement related to the 2016 sale of certain U.S. manufacturing sites.