Niche prescription products company Alliance Pharma plc (LON:APH) is on target to reduced its net debt to around two times underlying earnings this year.
The company’s annual general meeting (AGM) statement said cash flow in the business remains strong and the company looks forward to the year ahead “with much confidence”.
"Trading in the current financial year is good and in line with the board's expectations. Our key international growth brands, Kelo-Cote, for scar reduction, and MacuShield, a nutritional supplement product for age-related macular degeneration (AMD), continue to deliver a strong performance,” chairman Andrew Smith was set to tell shareholders at Thursday’s AGM.
While trading in the established products is solid, attention is focused on the UK registration for Diclectin, a treatment for nausea suffered by pregnant women.
READ Diclectin to lift Alliance Pharma to the next level
The company continues to expect approval to be granted in the third quarter of this year, which will enable it to start commercial sales around the end of the year and pave the way for a roll-out to European territories by the end of 2018.
Shares in Alliance were up 5.4% at 51.375p in mid-morning trading.