Download Hemscott, UK 07-23-07

Hemscott, UK
07-23-07
Lawrence raises 5.44 mln stg via institutional placing; FY pretax rises UPDATE
LONDON (Thomson Financial) - Lawrence PLC said it has completed a 5.44 mln
stg conditional placing with institutional investors, as it posted an improved fullyear pretax profit on a more than 30 pct increase in sales of its antibiotic Aivlosin.
The veterinary pharmaceuticals maker issued 2.72 mln shares at 200 pence
each and said it will now focus its efforts on its core ECO Animal Health
business, following the sale of its Agil division.
Pretax profit before exceptionals and impairments in the year to end-March came
in at 5.8 mln stg, compared with 3.4 mln a year ago. Group turnover on
continuing operations of 18.3 mln stg, compared with 20.3 mln a year ago, is
distorted by the sale of the Agil unit in November, the company said.
A final dividend of 5.45 pence per share was recommended by the board, taking
total dividend to 7.15 pence per share from 7.0 in 2006.
The company said it has identified several immediate new opportunities,
including the pet medication sector and for Aivlosin in swine, and added that
whilst sales of these new products will build over a period of years, the margins
attaching to them will be very attractive.
It estimated that it will spend a further 8.3 mln stg to complete the work in
progress in its production animal drugs programme, and added that studies by
Iowa State University indicated 'significant results' that Aivlosin may have a far
wider reach than was previously thought.
Lawrence said it has made applications for around 100 drug approvals which
have been submitted and are commencing trial work.
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