18th May 2015 07:50
LONDON (Alliance News) - Bioquell PLC Monday said it is putting itself up for sale, following the sale of its specialist testing unit TRaC Global Ltd for GBP44.5 million earlier this year.
The company said that, on the back of its simplified structure following the sale, increased investor interest in the bio-pharmaceutical sector and increasing concern about antibiotic resistance, it has opted to undertake a strategic review of its remaining biological contamination control business.
Bioquell said this strategic review may or may not include the sale of all or part of the business, although it noted that it believes it has a "secure future" as an independent business and so only will engage with third parties willing to provide value to shareholders "by recognising and supporting the group's significant growth potential".
If the strategic review does not result in a sale, Bioquell still plans to return a majority of proceeds from the sale of TRaC to shareholders, it said. A number of shareholders have indicated a preference for a return of capital rather than a special dividend, Bioquell said, and as a result it has opted to defer this distribution until the strategic review is completed.
The company is trading line with expectations, it said.
Shares in Bioquell are trading up 2.6% at 140.00 pence Monday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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