Sales grow at Animalcare prior to reverse takeover

Biotech business Animalcare has seen revenues for the last six months grow to nearly £7m ahead of a merger with Ecuphar NV, a European animal health company.

This morning it reported revenue growth of 4.1% to £7.90m for the six months to June 2017, prior to the merger, versus the same period last year.

It said for the 12 months also ending June 2017, revenues were up 8% at £15.87m and operating profits had seen double digit growth, rising 11.8% to £3.57m.

Animalcare’s licensed veterinary medicines division grew exports 70% during the period, but sales of its animal welfare products declined by 3.2% to £1.42m, as did its identification division following an upsurge in sales following implementation of compulsory microchipping for dogs in the UK in April 2016.

The £70m merger with Ecuphar was agreed by shareholders on 12 July with the enlarged Group admitted to AIM.

The York-based group raised £30m for the acquisition, which consisted of a reverse takeover.