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Digital Angel Corporation (NASDAQ: DIGA) $15M (MarketCap) Signs Contract; Shares Jump
Digital Angel announced today the signing of a contract extension with Intervet Incorporated, the animal health unit of Schering-Plough Corporation that markets Digital's Destron Fearing's companion pet products under the HomeAgain brand. The agreement will provide syringe and RFID microchip systems and readers to Intervet, and while the terms of the contract were not disclosed, the agreement provides for price and volume minimums, and the extension runs through December 31, 2010.
Digital Angel is an advanced technology company in the field of animal identification and emergency identification solutions. Digital Angel's products are utilized around the world in such applications as pet identification, using its patented, FDA-approved implantable microchip; livestock identification and herd management using visual and radio frequency identification (RFID) ear tags; and global positioning systems (GPS) search and rescue beacons for army, navy and air force applications worldwide.
Joseph J. Grillo, Chief Executive Officer of Digital Angel, said: "We're pleased to be able to announce this extended agreement with our partner Schering-Plough/Intervet. Since 1994, Digital Angel has provided Schering-Plough's animal health business with products for its HomeAgain pet recovery system, which has recovered over 600,000 lost pets during that time".
The partnership is valuable to Digital Angel,with Schering-Plough capturing 1.4% market share in the U.S., making it the seventeenth largest pharmaceutical drug maker, raking in $18.5B in 2008. The company's veterinary line is packed with FDA approved and long-term patented product lines.
Shares of Digital Angel rose $.07, or 15.5% to close at $.55 per share on average daily volume.
Disclosure: no positions
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About World Market Media:
WorldMarketMedia.com (The Global Online Investment Community) is a high traffic stock market, news data website providing cutting edge new media products and services to publicly traded companies worldwide. Our Editor's Desk authors insightful real-time coverage on the economy, the capital markets and their listed companies.
