Tristel gets £1m towards portfolio purchase

3rd Jul 2009 07:47

Disinfectant supplier Tristel has raised £1m to part finance the purchase of a portfolio of infection control products for between £2.15m and £2.4m.It has placed 2.7m shares at 41p each, which will help buy intellectual property and manufacturing rights from Medichem International. The placing was three times over subscribed.The £1m will be paid to Medichem in cash, with the balance payable in cash over five years depending on the annual sales generated from the Medichem product portfolio.The portfolio, which includes the surface disinfectant product 'TriGene Advance', a market leader in the animal healthcare market, generated sales of £2.06m in 2008."Tristel believes that the acquisition is highly complementary to its existing product portfolio which is based on its proprietary chlorine dioxide technology and solely focused on the human healthcare market," read a statement."Tristel expects the acquisition to be earnings enhancing in its financial year commencing 1 July 2009, although the transfer of production to its Newmarket manufacturing facility will be phased in gradually over the first half of the financial year."