Elanco Animal Health Selected for 2021 FORTUNE’s Change the World List

Rhea-AI Summary

Elanco Animal Health (NYSE: ELAN) has been recognized in FORTUNE’s 2021 Change the World list, ranking 19th among 53 companies making a social or environmental impact. This accolade highlights Elanco's East Africa Growth Accelerator (EAGA), which supports smallholder farmers in Tanzania, Kenya, and Uganda by providing affordable veterinary products and training. The initiative, begun in 2017 with backing from the Bill & Melinda Gates Foundation, integrates into Elanco's operations, emphasizing animal health's role in addressing hunger and climate challenges.

Positive

• Ranked 19th on FORTUNE’s 2021 Change the World list, showcasing significant social impact.
• East Africa Growth Accelerator (EAGA) provides affordable veterinary products and training for smallholder farmers.
• Integrated EAGA into commercial operations, leading to profitability and sustainability.

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• None.

GREENFIELD, Ind.--(BUSINESS WIRE)-- Elanco Animal Health Incorporated (NYSE: ELAN) today announces its inclusion in FORTUNE’s 2021 Change the World list, which recognizes companies that have made an important social or environmental impact through their profit-making strategy and operations.

This year’s publication honored Elanco’s shared value initiative “East Africa Growth Accelerator (EAGA)” and ranked Elanco 19^th on the list of 53 companies that do well by doing good.

With the East Africa Growth Accelerator, Elanco provides smallholder farmers across Tanzania, Kenya, and Uganda with access to training and high-quality veterinary products in small, affordable pack sizes. This purpose-driven, shared value initiative began in 2017 with the support of a grant from the Bill & Melinda Gates Foundation. At the start of 2021, Elanco integrated the business in East Africa into its commercial operations, as the initiative has become both profitable and independently sustainable.

The effort is part of Elanco’s Healthy Purpose™ sustainability and Environmental, Social and Governance (ESG) framework and illustrates Elanco’s perspective on animals’ role as a solution to two of society’s greatest challenges - hunger and climate change. “At Elanco, we are grounded in our purpose and our deep commitment to being a force for good in the world, both through the products and services we provide and our ability to influence the systems in which we operate,” said Jeff Simmons, president and CEO of Elanco. “Animals are uniquely positioned at the center of both climate and nutrition. We can bridge the hunger gap, achieve climate goals and unlock a new frontier of value for both large-scale producers and smallholder farmers.”

Going forward, Elanco commits to expanding its shared value footprint as part of its pledge to create more resilient food systems by 2030, helping to improve the efficiency and sustainability of every farmer the company works with, improve the health and welfare of 3 billion farm animals and support and enhance agricultural productivity and income of 250,000 dairy and poultry smallholder farmers.

With EAGA, Elanco has created a groundbreaking shared value initiative that provides sustainable development solutions to address food shortages in East African countries. According to the Food and Agriculture Organization of the United Nations, the battle to end hunger must be principally fought in rural areas, which is where almost 80% of the world’s hungry and poor live^[1]. But in East Africa, 25% of farm animals are currently lost to animal disease^[2].​

Collaborating with local partners, Elanco empowers farmers in the region to improve animal health and welfare, advance the productivity of their farms, and uplift the lives of those who depend on livestock for their livelihoods. By the end of 2021, Elanco expects to reach a total of 240,000 dairy and poultry smallholder farmers across the three countries, benefiting the health of around 1.1 million cows and 16 million chickens with new access to animal health products.

By 2018, EAGA delivered a Social Return of Investment (SROI) of USD $2.48 per dollar invested. EAGA’s net economic benefit to smallholder farmers will be re-assessed by the end of 2021. While EAGA was originally supported by a grant from the Bill & Melinda Gates Foundation until 2020, Elanco received a grant extension for 2021 to ensure the last-mile delivery of products and services amid the COVID-19 pandemic. Learn more about the East Africa Growth Accelerator here.

FORTUNE, one of the top business magazines in the world, began publishing the annual Change the World list in 2015. Companies are ranked on measurable reach, nature, and durability of their social impact, as well as business results, degree of innovation, and integration of the initiative into the company’s overall strategy.

Each year, the initial solicitation and assessment of nominees are conducted in partnership with Shared Value Initiative, a global platform for organizations seeking business solutions to social challenges. A team of journalists from FORTUNE then investigates each of the candidates independently. The final list is selected and ranked by the editors of FORTUNE based on the magazine’s own reporting and analysis. More about the methodology here.

Sources:

1. Food and Agriculture Organization of the United Nations (FAO), 2015. FAO and the 17 Sustainable Development Goals. Accessed on October 11, 2021, on https://sustainabledevelopment.un.org/content/documents/2205FAO%20and%20the%2017%20SDGs.pdf
2. African Union Interafrican Bureau for Animal resources (AU-IBAR). Animal Health Strategy for Africa (AHSA) 2019-2035. Accessed on 1st June 2020 on http://repository.au-ibar.org/bitstream/handle/123456789/549/AHSA%20Infomation%20Note_Cover_Layout_ENG.pdf?sequence=1&isAllowed=y

About Elanco Healthy Purpose™

Elanco is committed to the idea that its business can be a unique force for good for all in society - starting with animals. Therefore, its approach to sustainability - called Elanco Healthy Purpose™ - is a framework of Environmental, Social, and Governance (ESG) commitments focused on advancing the well-being of animals, people, and the planet. In this context, Elanco issued three Healthy Purpose pledges, driving sustainable change and supporting the United Nations Sustainable Development Goals (SDGs). Learn more here.

ABOUT ELANCO

Elanco Animal Health Incorporated (NYSE: ELAN) is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders, and society as a whole. With nearly 70 years of animal health heritage, we are committed to helping our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our Elanco Healthy Purpose™ Sustainability/ESG Pledges - all to advance the health of animals, people, and the planet. Learn more at elanco.com.

This press release contains forward-looking statements, which reflect the current views of Elanco with respect to ESG commitments, goals and aspirations, and other future events. The statements are not guarantees of future performance or actions. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, assumptions, and other factors that are difficult to predict and many of which are beyond management’s control. If one or more of these risks or uncertainties materialize, or if management's underlying assumptions prove to be incorrect, actual results may differ materially from those contemplated by a forward-looking statement. These risks, assumptions, uncertainties and other matters are described in Elanco’s annual reports on Form 10-K for fiscal year ended December 31, 2020 and other reports that are available from the U.S. Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management’s view only as of the date made. We undertake no obligation to update any forward-looking statement, except as otherwise required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211018005913/en/

Investor Contact: Tiffany Kanaga +1.302.897.0668 tiffany.kanaga@elancoah.com

Media Contact: Colleen Parr Dekker +1.317.989.7011 colleen.dekker@elancoah.com

Source: Elanco Animal Health Incorporated

FAQ

What recognition did Elanco receive in 2021?

Elanco was ranked 19th on FORTUNE’s 2021 Change the World list.

What is the East Africa Growth Accelerator?

The East Africa Growth Accelerator (EAGA) is an initiative by Elanco that supports smallholder farmers in Tanzania, Kenya, and Uganda by providing access to veterinary products and training.

What impact does EAGA have on local farmers?

EAGA helps improve animal health and welfare, benefiting the health of around 1.1 million cows and 16 million chickens.

How has EAGA been funded?

EAGA was initially supported by a grant from the Bill & Melinda Gates Foundation until 2020, with an extension for 2021.

What social challenges does EAGA address?

EAGA aims to combat food shortages and improve the livelihoods of smallholder farmers in East Africa.