Merck Animal Health Announces Acquisition of TARGAN

Merck Animal Health to Acquire TARGAN, Expanding Poultry Technology and Biodevice Innovation Capabilities

Merck Animal Health, known as MSD Animal Health outside the United States and Canada and operating as a division of Merck & Co., Inc., has announced the signing of a definitive agreement to acquire TARGAN, a privately held company specializing in advanced biodevice technologies designed to improve productivity and operational efficiency in the poultry industry.

The financial terms of the transaction were not disclosed. The acquisition is expected to close during the third quarter of 2026, subject to customary closing conditions and required regulatory approvals.

The deal represents another strategic step in Merck Animal Health’s efforts to expand its presence in poultry health and production technologies while strengthening its broader portfolio of animal health solutions. By integrating TARGAN’s innovative automation and biodevice platforms with its existing vaccine and pharmaceutical offerings, Merck Animal Health aims to provide poultry producers with more comprehensive and technologically advanced solutions.

Building on a Longstanding Relationship

The acquisition follows nearly a decade of collaboration between the two companies.

Merck Animal Health has been an investor in TARGAN since 2017 and has grown to become one of the company’s largest shareholders. Over the years, the relationship has evolved through shared efforts to advance technological innovation within livestock production and animal health.

This existing partnership provided Merck Animal Health with firsthand insight into TARGAN’s technologies, development capabilities, and long-term vision. The acquisition formalizes that relationship and allows the company to integrate TARGAN’s expertise more directly into its global operations.

The move also reflects a broader trend within the animal health sector, where companies are increasingly investing in digital technologies, automation, data analytics, and precision livestock management solutions to enhance productivity and animal welfare.

Expanding Merck Animal Health’s Poultry Portfolio

Poultry production is one of the most important segments of global animal agriculture, supplying billions of consumers worldwide with eggs and poultry products. As demand continues to increase, producers face growing pressure to improve efficiency, optimize flock management, and maintain high standards of animal health.

Merck Animal Health has invested heavily in developing vaccines, pharmaceuticals, and health management solutions for poultry operations. The acquisition of TARGAN is expected to significantly expand those capabilities by adding advanced biodevice technologies that address critical operational challenges within commercial hatcheries.

Rick DeLuca, President of Merck Animal Health, stated that TARGAN’s technology complements the company’s growing biopharmaceutical presence in poultry and enhances its ability to create value for customers globally.

According to DeLuca, the acquisition not only strengthens Merck Animal Health’s position within poultry production but also introduces device development expertise that could support future innovations across multiple animal species.

He emphasized that combining TARGAN’s technological capabilities with Merck Animal Health’s scientific, commercial, and operational strengths will help accelerate innovation and create new opportunities for customers around the world.

WingScan™ Technology Enhances Hatchery Operations

One of the most notable assets included in the acquisition is TARGAN’s WingScan™ technology, an automated chick-sorting system designed to improve efficiency in commercial hatcheries.

WingScan utilizes advanced machine vision technology to determine the gender of newly hatched chicks rapidly and accurately. The system captures high-resolution images of each chick’s wing feathers and uses proprietary algorithms to analyze feather patterns in real time.

This automated process allows chicks to be sorted based on gender at remarkable speed and scale.

According to the company, WingScan is capable of processing up to 160,000 chicks per hour, making it suitable for hatcheries of virtually any size. The technology’s scalability enables adoption by both large integrated poultry producers and other commercial hatchery operations seeking to improve productivity.

Automation of chick sex determination has become increasingly important within the poultry industry because it helps streamline operations, reduce labor requirements, and improve consistency.

By incorporating sophisticated imaging and analytical capabilities, WingScan offers a modern solution to a task that has traditionally relied heavily on manual labor and specialized expertise.

Advanced Vaccine Delivery Through Precision Ocular Spray Technology

In addition to WingScan, the acquisition provides Merck Animal Health with access to TARGAN’s high-speed precision ocular spray technology.

This innovative platform is designed to administer vaccines to day-old chicks efficiently and accurately. The system delivers vaccines directly through ocular application, supporting immunization programs for respiratory diseases, coccidiosis, and other health challenges commonly encountered in poultry production.

Vaccination remains one of the most important tools for maintaining flock health and preventing disease outbreaks. As poultry operations continue to expand in scale, efficient vaccine administration methods are becoming increasingly valuable.

The precision ocular spray system is intended to ensure consistent vaccine delivery while supporting large-scale hatchery operations that require high throughput and reliability.

For Merck Animal Health, the technology aligns closely with its extensive poultry vaccine portfolio, creating opportunities for integrated solutions that combine advanced biologics with innovative delivery systems.

The combination may help producers improve vaccination efficiency, enhance flock protection, and simplify hatchery workflows.

Potential Beyond Poultry

While the immediate focus of the acquisition centers on poultry production, Merck Animal Health also sees broader opportunities in TARGAN’s biodevice platform.

The company believes TARGAN’s expertise in developing automated animal health technologies could support future innovations across other livestock sectors.

Device-based solutions are becoming increasingly important in animal agriculture as producers seek new ways to monitor animal health, optimize management practices, and improve production outcomes.

By adding TARGAN’s engineering, automation, and device-development capabilities, Merck Animal Health gains a valuable platform that could be adapted for use in cattle, swine, and other livestock industries.

This potential for cross-species innovation was highlighted by company leadership as one of the strategic advantages of the transaction.

The acquisition therefore represents not only an investment in poultry technologies but also a broader commitment to advancing next-generation animal health solutions.

TARGAN’s Growth Journey

Founded with the goal of bringing technological innovation to livestock production, TARGAN has emerged as a recognized developer of advanced biodevice systems for the poultry sector.

The company’s solutions combine engineering, machine vision, automation, and biological applications to address operational challenges facing modern animal agriculture.

Throughout its growth, TARGAN has benefited from support provided by investors, technology partners, employees, and industry stakeholders. Among those supporters, Merck Animal Health has played a particularly important role.

Ramin Karimpour, Founder and Chief Executive Officer of TARGAN, noted that Merck Animal Health has been a foundational partner since the company’s earliest days.

According to Karimpour, the shared commitment to scientific excellence and technological innovation helped drive the development of TARGAN’s products and supported the company’s expansion within the poultry industry.

He stated that becoming part of Merck Animal Health will provide access to substantial resources, infrastructure, and global reach that can accelerate deployment of TARGAN’s technologies and maximize their impact within the livestock sector.

Karimpour also acknowledged the contributions of employees, venture capital investors, and financing partners who helped build the company over the years.

Advancing the Future of Animal Health

The proposed acquisition reflects the evolving nature of the animal health industry, where technological innovation increasingly intersects with biological science to create integrated solutions for producers.

Traditional animal health products such as vaccines and pharmaceuticals remain essential, but producers are also seeking technologies that improve efficiency, automate critical processes, and generate actionable insights.

By combining TARGAN’s biodevice platforms with Merck Animal Health’s global expertise in vaccines, pharmaceuticals, and animal health management, the companies aim to deliver solutions that address both health and operational challenges.

As poultry production continues to grow worldwide and livestock operations embrace greater automation, technologies such as automated chick sorting and precision vaccine delivery are expected to play an increasingly important role.

Pending regulatory approvals and completion of customary closing requirements, the acquisition is expected to close in the third quarter of 2026. Once finalized, the transaction will position Merck Animal Health to expand its innovation capabilities, strengthen its poultry business, and pursue new opportunities across the broader animal health market.

The acquisition underscores Merck Animal Health’s commitment to investing in technologies that improve animal health, enhance productivity, and support the future sustainability of global livestock production.

About TARGAN
TARGAN is an innovative animal AgTech systems company focused on transforming animal protein production industries worldwide. Founded in 2015 and based in Raleigh, North Carolina, the company’s mission is to provide affordable, individualized technologies that will improve speed, accuracy and animal welfare. For more information, visit TARGAN.com.

About Merck Animal Health
Merck Animal Health, a division of Merck & Co., Inc., Rahway, N.J., USA, is a global animal health business committed to The Science of Healthier Animals™. For more than 130 years, we have pioneered groundbreaking science. Today, we are driven by continuous innovation to develop breakthrough medicines, vaccines and technology. Rooted in direct experience on the farm and in the clinic, we work hand in hand with our customers every step of the way. Our singular focus is to empower those who care for animals, helping them manage their vital responsibility with confidence. Because when it comes to animal health, no one sees it like we do.

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