Bayer Animal Health and Mitsui Chemicals Agro (MCAG) have signed a global license agreement to further develop parasiticides for companion animals as pet ownership grows. Under the terms, Bayer will develop and commercialize novel compounds based on MCAG’s technology. The German company said the deal is a result of the long-term collaboration with the Japanese group. Financial terms and other details were not disclosed.

“This license agreement combines the strong science base within Bayer with innovative chemistry from MCAG. It will enable us to further expand our strong portfolio of parasiticides in the companion animal sector and deliver new compelling products to our customers,” said Sabine Bongaerts, head of drug discovery within Bayer Animal Health.

This is the second agreement between the two companies this year. In February, they signed a licensing deal for the development and marketing of quinofumelin, a new fungicide created by MCAG that is said to feature a new mode of action and broad fungicidal activity.

Bayer has exclusive worldwide rights to develop and commercialize quinofumelin-based products for crop use, except in selected countries and regions – including Japan – where MCAG holds exclusive rights or shares co-exclusive rights with Bayer.

The first registration application is planned for 2020 in Japan, followed by other countries. Intended use applications for the new fungicide include fruit trees, leafy and fruiting vegetables, oilseed rape and rice.