Proactiveinvestors recommends
Additional Information
Market: AIM
Sector: Pharmaceuticals & Biotechnology
EPIC: APH
Latest Price: 36.75p  (0.33% Ascending)
52-week High: 39.50p
52-week Low: 21.50p
Market Cap: 91.35M
1 year chart More charts
digital-look imported chart image
Deal APH Tax Free*
*subject to change and depends on individual circumstances.
1 day chart More charts
digital-look imported chart image
Advertisement
Watchlist/Portfolio

Add to watchlist:

Only registered members can add into watchlist !

Register here !
Alliance Pharma
www.alliancepharma.co.uk
Deal Alliance Pharma Tax Free* Losses can exceed
your initial deposit *subject to change and depends on individual circumstances.

 

Alliance is an international publicly owned pharmaceutical group listed on AIM, part of the London Stock Exchange. It was founded in 1998 and has its headquarters in the UK.

Alliance’s principal activities are acquisition/licensing, registration and marketing. Its manufacturing, product development and distribution are controlled...

Read more
Full Alliance Pharma profile here
Pdf

UPDATE: Alliance Pharma buys stoma care product specialist

October 19 2012, 3:40pm Broker Numis upgraded the company from ‘add’ to ‘buy’ today

--adds broker comment and share price--

Speciality pharmaceutical company Alliance Pharma (LON:APH) has snapped up stoma care product specialist Opus Group for about £9.5 mln.

Opus group sells a range of products for stoma care [colostomy, ileostomy, urostomy] including skin creams and cleansers, in the UK and Ireland and generated underlying profits of £2.1 mln on sales of £3.8 mln in the year to March.

The consideration is being funded from existing cash and bank facilities. Opus’ founders Hugh Brady and John Williams will stay on for six months until David Hope, Alliance's sales and marketing director for secondary care, takes over.

“We are very pleased to complete this second major acquisition of 2012,” said John Dawson, Alliance Pharma’s chief executive.

“Opus is an exciting business with good growth potential that matches our business well in terms of customers and business drivers. It will be immediately earnings enhancing for Alliance.”

The deal will see Alliance pay £8 mln plus the net asset value of around £1.5 mln.

It will be funded out of the company’s existing revolving cash facility (RCF). The company has now spent £16.5 mln of the £20 mln available.

Alliance’s strategy is to buy up mainly prescribed and well established branded products that need little marketing.

The company owns or licenses the rights to more than 50 pharmaceutical products. Sales are mainly prescription driven and to hospitals directly or to pharmaceutical wholesalers.

Broker Numis upgraded the company from ‘add’ to ‘buy’ today, with a target price of 37 pence, up from 32 pence.

Analyst Charles Weston forecasts revenue growth of 5% per annum for Opus.

He also believes the business will require £300,000 in additional management investment, £400,000 in related support costs and £500,000 in additional interest costs on the RCF.

Weston also forecasts a 9% uplift to earnings per share in 2013, while he adds that this will increase as debt is repaid.

The news lifted the share price by 1.5 pence or 5.4% to 29.5 pence.

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.