Alliance Pharma sales more than double on Sinclair acquisition

Specialty pharmaceutical company Alliance Pharma said its sales more than doubled in the six months ended 30 June thanks to its acquisition of the Sinclair Healthcare Products business in December last year.

Sales rose to £46.4m from £22.8m, with Sinclair products contributing £20.6m.

The company said its three key growth brands performed in line with expectations, with its largest-selling brand, Kelo-cote acquired from Sinclair in December 2015, achieving sales of £4.1m.

Hydromol maintained strong sales growth of 10% in the first half with sales of £3.5m for the six month period. Meanwhile, ophthalmology product MacuShield, acquired in February 2015, delivered £2m in the first half versus £1.4m in the first five months post-acquisition in February 2015.

The group said integration of the Sinclair products under the Alliance name is progressing well, with activities relating to finance and operations expected to be largely complete by the end of the third quarter this year and product transfers in the countries proceeding in line with local regulatory timelines.

As far Brexit is concerned, Alliance said it is too early to assess the long-term impact, although having operations in France, Germany, Italy and Spain, it does not expect any issues over market access.

“Additionally, we do not expect to be adversely affected by the current sterling exchange rate volatility. Indeed, if current exchange rates prevail we would expect a modest benefit to our sales and financial performance as we expect trading volumes to continue in line with expectations throughout 2016.”

At 0923 BST, shares were up 4% to 45.50p.