Embrex Inc. announced today that it has entered into a leasingand licensing agreement with poultry producer Golden PoultryCo. Inc. for its Inovoject automated egg injection system.
Golden, a majority-owned subsidiary of the world's third-largest broiler producer, Gold Kist Inc., will fully convert one ofits poultry hatcheries to incorporate two of Embrex's patentedin ovo injection systems. Gold Kist has the option of convertingadditional hatcheries over the terms of the agreement, whichneither company disclosed.
Inovoject is geared to automatically vaccinate 20,000 to 30,000fertile chicken eggs per hour. It replaces the labor-intensive,post-hatch manual vaccination of day-old chicks.
Embrex (NASDAQ:EMBX) of Research Triangle Park, N.C.,estimated that the top five U.S. poultry producers account forclose to half the 6.5 billion chickens raised annually in the U.S.Worldwide, approximately 18 billion broilers are producedannually. And about $1.7 billion is spent globally on vaccinesand poultry health products to treat common diseases,including New Castle's disease, Marek's disease, and coccidiosis.
Tyson Foods Inc., the world's premier broiler producer, agreedwith Embrex last September to license and lease the Inovojectautomated egg injection system, as well.
Embrex's stock was up 25 cents a share on Monday to $8.88.
-- Jennifer Van Brunt Senior Editor
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