IS Pharma raises £12.5m for acquisitions
NORTH West pharmaceutical group IS Pharma is to go on the acquisition trail after raising £12.5m in a share placing.
The Chester-based company, which is listed on AIM, specialises in buying, developing and marketing hospital medicines.
IS Pharma has placed 15.6 million new ordinary shares at 80p each. Shares in the company, which has a market value of £29.9m, closed at 83.5p yesterday.
It follows the £3.6m it raised last month after placing 4.6 million shares with the London-based healthcare investor Abingworth at 77p each.
The company, which also unveiled interim results, said it would use the cash to cover milestone payments and fund future acquisitions.
In the six months to September 30 the group saw pre-tax profits treble to £1.4m on sales of £6.5m, up 10%.
It said it had enhanced its product portfolio during the period with the launch of supportive oncology products Episil and Aquoral. It also recently launched Mysoline, a treatment for essential tremor, a slowly progressive neurological disorder that causes a tremor of the arms.
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Chief executive Tim Wright said: “At the time of the recent strategic investment by Abingworth, we were asked by a number of our existing shareholders to give them an opportunity to further invest in IS Pharma. This Placing is in response to these requests and was oversubscribed.
“We are delighted that so many of our existing shareholders have supported this fundraising and we are pleased to welcome a number of significant new institutions who have chosen to support IS Pharma at this important stage in the growth of the company.”
