Partner Article

Manchester cosmetic supplier Collagen Solutions acquires NZ firm for £6 million

Manchester-based manufacturer and developer of medical grade collagen, Collagen Solutions plc, has announced the acquisition of a New Zealand-based counterpart for £6 million.

The proposed acquisition of Southern Lights Ventures 2002 Ltd. (trading as Southern Lights Biomaterials) is by way of reverse takeover.

In a statement the firm said that the acquisition was “a logical strategic extension and complementary acquisition that provides additional security of supply of high grade collagen.”

The firm also posted their half year results, reporting revenues of £143k compared to a recorded ‘nil’ in the same period last year. However the firm reported pretax losses of £560k.

This was apparently due to an increase in spending, administrative expenses of £467k, (2013: £62k) reflecting the costs of operating a public company and the related regulatory costs and the extensive depreciation of assets.

Dr Stewart White, chief executive officer of Collagen Solutions, commented: “Trading has been in line with management expectations and we have been committed to our strategic objectives - namely, our investment in Research and Development, Manufacturing and Sales and Marketing.

“The company is securing future revenue streams from existing customers in addition to some new and exciting opportunities resulting from our strategic initiatives.”

This was posted in Bdaily's Members' News section by Clare Burnett .