Silver lining for Avacta as product development makes headway

AIM-LISTED Avacta, which provides diagnostic tools for the healthcare sector, is continuing on track for growth as it develops new ranges to bring to market.

The firm has been concentrating on developing Affirmers, an engineered alternative to antibodies.

Post-period end, the firm sold the assets of their Optim product for £2.21m.

However this concentration on product development has meant that revenues and pretax profit have declined.

The firm posted revenues of £725,000 for the 6 months to 31 January 2015, compared to £817,000 for the same period last year.

The firm has almost tripled its losses, from a loss of £568,000 to a loss of £1.58m.

Alastair Smith, chief executive officer said: “The recent disposal of the analytical business activity to a US acquirer reflects the strategy we have pursued for the past couple of years to focus resources on Affirmers and the board continues to believe that this strategy will deliver the greatest value to shareholders.

“It is a very exciting time for Avacta and I look forward to the next opportunity to update the market.”