Cyprotex hunting for more acquisitions

MACCLESFIELD drug testing firm Cyprotex is back on the acquisition trail following the successful integration of the US business Apredica.

In a statement issued ahead of the firm’s annual general meeting today chairman Steve Harris said last year’s deal “far exceeded original expectations” and the company is now searching for complementary acquisition targets.

Cyprotex’s acquisition of Apredica has allowed it to add in-vitro toxicology testing as a major service.

The group specialises in offering ADME (Adsorption, Distribution, Metabolism and Excretion) tests to drug companies to help them work out the potential impact of new drug compounds.

Mr Harris will say: “2010 was a transformational year for Cyprotex. The company successfully executed a major acquisition of a fast-growing competitor, entered the nascent in-vitro toxicology market, completed a major expansion of its Macclesfield laboratories, doubled its core service offerings, and more than doubled its rate of new-customer acquisition.”

Revenues rose by 7.5% and the company stayed in profit despite a period of heavy investment. 
 
“The company’s successes have been achieved in the face of an unfavourable economic climate for the drug-discovery industry,” said Mr Harris.  

“Established pharmaceutical companies have been substantially reducing their R&D efforts. Emerging companies have experienced severe difficulties in obtaining funding. These difficulties, however, are making Cyprotex’s ability to improve the efficiency of drug development ever more appealing.”
 
Cyprotex expects to announce its interim results for the six months to June 30 on August 25.