Alltracel Pharmaceuticals Share Discussion Threads

[wes1] 27/1/2008 12:20

Bloody Yanks

[wes1] 27/1/2008 12:19

The following was reported in The Irish Independent 16 months ago -

The Irish Independent reports(September 2006) that a US investment group is in talks with medical technology company Alltracel Pharmaceuticals about its UK-based oral care unit.

The paper says the US company is called Linden LLC and in April 2005 it acquired Ranir/DCP Corporation, a private-label and contract manufacturer of consumer oral care products based in Michigan.

It has been in talks with Alltracel on and off for some months about a potential deal.

The Indo says a spokesman for Alltracel declined to comment yesterday and a spokesperson for Chicago-based Linden could not be contacted.

But the paper has learned that an indicative offer of $20m has been tabled by Linden for Alltracel's profitable Westone Products Ltd division.

[wes1] 27/1/2008 12:09

SP Services has now been appointed as the exclusive Military distributor of the HemCon Bandage for both the Republic of Ireland and the UK.

Take note of the prices shown -

Nanospider can make these products better, cheaper faster than anyone or anything else.

Extract from last weeks TU -
Hemcon - "A key feature of this partnership is the targeted delivery of products to market in 2008. We are pleased to report that we are on track to meeting this milestone".

HemCon are in the process of expanding further than the American Military, they recently signed an exclusive Agreement with Cardinal Health for the US civilian market and have, so far, established distribution partners in UK, Israel, Greece, Romania, Bulgaria, India, Poland, Germany, Austria, South Africa, China, Hong Kong, Macau, Saudi Arabia and the Gulf Countries.

They would love to get Nanospider for themselves. To sell it whilst the technology is in it's infancy is sheer luacy. Remember, Liberec University and Elmarco took their time ensuring they had the IP sewn up before they alowed the world to see what they had. Talk about killing the goose that lays the golden egg ...

[4web] 27/1/2008 11:54

nothing in Irish times this sunday?
Can't get it here of course....

[buywell2] 26/1/2008 15:42

My 18p call by xmas might only be a few weeks out

Now we know the reason

[buywell2] 26/1/2008 14:58

The next set of results should show the old AP. business with a revenue of around 22m euro as some HemCon monies will be included

Here is the last interims

Interim Results
Interim Results for the six months ended 30 June 2007


2007 First Half (H1 2007) Financial Highlights: Last years profitability growth continues into the first half of 2007.

• Operating profit of €387k versus €71k in H1 2006
• EBITDA of €592k versus €360k in H1 2006
• Gross margin increased to 40% versus 36% in H1 2006
• Revenue of €10.1M versus €9.5M in H1 2006
• Closing cash balance of €2.3M


Synpart will be adding 3.5m euros to this figure so I expext AP. to post around 25m euro a 25% increase on last year and also a reasonable maiden yearly profit of possibly around 1m euro

Now at friday share price closing the market cap in euros is
17,810,000.00 GBP = 24,039,047.28 EUR

So assuming Alltracel make 1m euro profit in a matter of around 8 weeks we would be seeing AP. trading on a P/E of around 24 at friday SP

Is it any wonder that the sharks are circling ?

AMS when they announced a maiden profit traded at a P/E of around 55 they trade now at around a P/E of 45

In 2008 with additional revenues coming on stream from Synpart merger plus HemCon plus oral care developments and the rest , it is not a big stretch to see profits easily doubling to 2m euros

ie AP. is trading today on a forward P/E of 12 for 2008

AMS share price tripled in the year following it's maiden profit announcement I see no reason why AP. can't eclipse this

Do you want to sell this company ?

[buywell2] 26/1/2008 14:47

.............. Getting value for shareholders in Alltracel ................


I think it would be circa 85% certain to say that the buyer will turn out to be one of AP.'s existing sponsers/partners.

However as I have said to sell the WHOLE of AP. to a single business unit sponser/partner does NOT obtain best value for shareholders.

I propose the following shining path to a rightious and just reward for those true followers of this share,

1. Identify the buyer
2. Identify the business unit in which he is the sponser/partner of AP.
3. Negotiate a fair value for this unit ONLY


If this can not be found then I recommend the following action, which could be taken anyway with the Healthcare unit which has HemCon now on board

4. Split this unit from AP. with designated management
5. Float this business on the stock exchange


I don't see any reason why this methodology could not be followed with each business unit once licence deals where in place with the sponser/partner concerned

If somebody can shoot this down .... fire away
If somebody can expand on it please do

If this can't be done I do not want AP. sold

If the buyer is one of our sponsers then they must know something that makes AP. look a juicy plum

Lets keep it and reap the benefits in a year or so when the share price could like AMS triple from 9p and be 27p plus

[buywell2] 26/1/2008 14:32

Nope ... I reckon not

If it is not P&G then the buyer may well be the major oral care sponser/partner

I can truly say that there is a product very near to launch which has been made to satisfy said partner.

newratings.com - Alltracel "buy"
22/01/2008



LONDON, January 21 (newratings.com) - Analyst Ian Hunter of Goodbody Stockbrokers maintains his "buy" rating on Alltracel.

In a research note published this morning, the analyst mentions that the company has entered into a joint venture with Venn Life Sciences Canada to provide clinical trial services. Alltracel has indicated that Synpart's integration is progressing well, with an oral care product close to being in-licensed. The company's other collaborations for developing new products are also on track, the analyst adds.

[supernumerary] 26/1/2008 13:09

Wes1 - I don't want to continue to hold on the basis of pure hope. So far it hasn't served me well.

It's just an investment decision - there are other places where I'd prefer to have my money at the moment, and if I can get a sensible price here I'll take it.

Anyway, we're still a very long way even from 16p, so I'm afraid you're stuck with me for a while yet...

[4web] 26/1/2008 11:25

Hope we will see this share rise to 14.5 - 15 penny next week. We will probably see a bid coming in within two weeks. If we get to 15 penny before the offer they will need to throw in a bid higher than 20 penny to make it interesting.

If it is one of the parties discussed yesterday. 20 penny is peanuts for them, they will be willing to go higher if needed.

I have paid 0,27 penny over ten years ago for these shares (stupid of me I know). This company has come from quite a long way, has good revenues, profit and lots of opportunities. If we take the new shares into account 15 to 17 penny is the shame prise it was ten years ago. It should be at least double the prise.

[4web] 26/1/2008 11:19

Jelly, they won't get mine either. And our large shareholders don't own more than 50%. They need us anyhow.

Inter again.... pff.... one day you come with the strangest things 'it's written in stone, the deal is done, etc.' Now it's the other way around. Don't understand how you think to make money of such bull...

[jellyman2] 26/1/2008 09:31

sounds like inter did not close his short in time. never mind buy them back and wait like the rest of us, could be good, they wont get my vote (for what its worth as helium can out vote all of us) under 20p.

[wes1] 26/1/2008 07:25

Super - throwing in the IP for zilch?

[alimo] 26/1/2008 00:53

Super.....Nerves of steel is all that is required. We have over 50% so let's not squander it on a 16p mentality!

[supernumerary] 25/1/2008 20:16

16p please

[4web] 25/1/2008 19:29

So Buywell... we should hang in there... enjoy the weekend all.

[buywell2] 25/1/2008 16:41

Last post from me today

I was an RTD holder when they were bought out

The shennanigans that went on with the share price after the announcement were quite something to witness.

Holders of the shares that did not sell were well rewarded at the end of the day however, the share price seesawed from around 140p to 180p and over £2 was the end result.

Who knows another buyer might emerge ....

[buywell2] 25/1/2008 16:30

Like I said earlier as the share price is now rising sharply

Therefore the cheapness factor for the potential buyer diminishes in proportion to the share price rise

So all the hard work of driving the share price down is becoming undone rather sharpish.

This as others have said is no doubt through a nominee a/c in Investec and could therefore be owned by anyone ..... even somebody posting on here

One would therefore imagine that they will be putting their cards on the table within days now to salvage their attempt at a 'pre-emptive peanut takeout'

I hope that AP. management give full and fair disclosure on what has gone down together with a statement as to whether this is the same outfit that cased our joint a year back and scarperred.

[buywell2] 25/1/2008 16:20

P&G Evens ... reasons
1. Noel T knows them having worked there before
2. AP. management think that the Cosmaseutical unit has best potential
3. P&G have bought other minnows recently


Noel Toolan, Chief Marketing Officer

Noel Toolan joined the Board in 2000 as a non-executive director and in October, 2003 joined the executive team as Chief Marketing Officer and Executive Director. Prior to Alltracel, Noel was managing director of BrandAid, an international marketing consulting company and served as senior vice-president of marketing at IONA Technologies, a NASDAQ listed middleware vendor. Noel spent 15 years in the consumer marketing business working in senior positions across Europe with Diageo, as head of worldwide marketing at Baileys and as managing director of Metaxa International; as well as with Procter & Gamble International in Geneva, Switzerland. Noel also spent three years as head of marketing at the Irish Tourist Board. As CMO of Alltracel Noel is responsible for communications and strategic marketing of Alltracel and its subsidiaries.

[buywell2] 25/1/2008 16:16

If it's a food based company that wants AP. my money would be on Kerry Group with the sausage outfit that AP. have dealt with (the owner is/was Irish) as an outsider

If it is Cosmaseutical then Procter & Gamble

These are the business units ( for newbes)


They should be sold seperately

[wes1] 25/1/2008 16:04

Bristol-Myers Squibb are in the process of selling ConvaTec, though I did read somewhere that UK ConvaTec employees in Wrexham (I think) were told that they were not included. That could be a ploy to keep the workers quiet until it was all done and dusted, I suppose.

That still leaves BMS with the option of selling US ConvaTec and buying Alltracel.

If not BMS, then maybe a buyer for ConvaTec could also buy Alltracel and make cost savings from integrating the two.

Names in the frame for buying ConvaTec are 3M, Johnson & Johnson, Covidien, CR Bard, Hartmann, Coloplast, Hallister, Healthpoint and DFB Pharmaceuticals.

Maybe one of those names isn't in the frame for ConvaTec because ConvaTec is too big, maybe they've decided Alltracel would be a better fit and more suited to the depth of their pockets.

Then again, it might not be any of the names mentioned.

What is becoming clear is that there are plenty of other cos besides Hemcon that would be interested in our technology. Maybe we should let them know about Alltracel if a derisory offer comes in.

..........................................................................

Bristol-Myers Squibb has kicked off the sale of ConvaTec with first round bids expected on 28 January, two sources familiar with the situation told dealReporter.

Bristol-Myers has already sent books out to prospective buyers for ConvaTec, the maker of products related to services for ostomy care, skin care and advanced wound care, said a first source, adding that up to 25 different confidentiality agreements have already been signed.

Both the first source and a second source confirmed that ConvaTec's assets should reach a transaction value of USD 3.5bn to USD 4bn. A third source remarked that ConVatec's EBITDA is USD 400m. The second and third source concurred that it was their understanding Morgan Staley had been retained to aid Bristol-Myers in running the process.

Private equity sponsors and company strategics are both believed to be in the fray, according to the first and second source. They both concurred that 3M would likely be among those vying for ConvaTec.

The second source said that while 3M and Johnson & Johnson (J&J) have talked about a ConvaTec buy for five years, they would not just be interested in the wound care commodities, which offer bandages and gauzes, but also in the company's more advanced wound care used for ostomy and coloplasty patients. Still, J&J and 3M might not be interested in ostomy, as it would not be considered a core part of advanced wound care, the source noted. Advanced wound care comprises a USD 3bn market in the US, the source said.

Other companies, such as Covidien, would definitely want to be in that division, he noted. Covidien is the former healthcare division of Tyco International.

The second source said that other suitors which he had heard are involved in the process include CR Bard and Germany-based Hartmann, although the latter could be too small to make the buy, the source added. Coloplast, a Danish-based company, which is big in ostomy and womb care, as well as a number of private companies including Illinois-based Hallister, which generates roughly USD 1bn a year in the industry, Texas-based Healthpoint and DFB Pharmaceuticals, could also be interested, the source noted.

The second source said that one of the reasons he believed Bristol-Myers would want to sell the unit is to pay back some of the company's outstanding debt. According to Bristol-Myers financials as of 30 September 2007, the company has USD 6bn in debt and USD 11bn in equity. The source added that investors would likely ask the company's management to ramp up its research in high profile drugs.

Yet, when asked if ConvaTec would eventually sell, the first source said it is still unclear. Although "everyone" will look, he noted that does not mean buyers will be there in the end.

Bristol-Myers spokesperson Pete Paradossi declined to comment on this report.

[4web] 25/1/2008 15:38

Alimo, to me the read is enjoyable and to be honest does sound the most likely.

They are intersted in our:

- woundcare division for M-Doc and nanopeutics
- cholesterol... cause they are into Nutritionals and Cardiovasculars/Metabolics
- cosmeticals... extra market for them, easy to penetrate because of their budgets

The distribution through Synpart is always good I guess.

I would have nerves of steel and would wait for one!

So crossing my fingers with you Alimo.

[alimo] 25/1/2008 15:21

AP.+AMS = I don't think so, because I think it is still too small to fund the developments.

If the Directors are at the stage where the developing products are really attracting attention from the guys they are in pilot stages with, then look bigger. Who's the company that owns ConvaTec I think they are pretty big and could probably be very interested in marketing all our IP. Three barrel name, yeh, Bristol-Myers Squib, now they would be a perfect match.

Presently ConvaTec use silver as the microbial in their dressings, but could use M-doc(much cheaper). Also will be very interested in the Nanospider dressings. AP. products would widen their woundcare product range.

B-MS could be very interested in the rest of the IP, and would continue the R&D into the fields of immunology and oncology, as well as the known CVH, cosmaceuticals and Oralcare. Maybe a look at both their websites would let you see how AP. would be a good fit.

So then what about the deal? Obviously AP. could be bought outright with the sort of dough B-MS has up it's sleave - 100p to them would still be just chicken feed. It's the cash/shares thing that would need careful thought. Their shares came down from the $70/80 level about 5years ago and have been hovering around the $20/30 range since then. Trouble with the US$ is that there are guys saying that the dollar may drop to 2.5 to the GBP, way down the line. Why B-MS have been languishing at the 20/30 level for 5 years, I don't know, but if they are waiting to push on up with AP. intellectual property stoking their engines, then shares might still be a good investment. But many advisers say stay away from US equities for now.

So like you lot, I'm just guessing, but I think B-MS would want all of AP., not just the bits. So if they are the ones that want us, they will want all the secrecy and a done deal that will be attractive to ALL our shareholders including us small shareholders who hold much more than 50% just now. However we need to have nerves of steel if we are going to extract over 50p a share. The offer of 25p might come in, which is very juicy to many who bought at between 10 and 15p, and many will sell. Probably many of you also, but remember they need to get over 50% or even more, to close the deal, and that means we small yins have still got major bargaining power. What I don't know, is if there are rules about the Directors selling more of the (is it?) Authorised Share Capital to B-MS so that the then big shareholders would hold more than the 50 or 60%+ that is needed.

This may be a load of twaddle, but it's just another maybe! Hope you enjoyed the read.