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Chromogenex aims to raise £2m
Source: Financial Times
Publication: Financial Times (Companies & Markets)
16 May 2005
Chromogenex, which makes medical lasers, aims to raise £2m in a placing which will see it join Aim and boost attempts to capitalise on growing global demand for acne, wrinkle and tattoo removal.
The advanced lasers are used to treat skin complaints such as acne and psoriasis. They can also be used in cosmetic treatments, such as the removal of wrinkles and skin rejuvenation. Tattoos, sunspots and pigmentation blemishes can be removed with the company's latest laser.
The money raised will be used to market the products globally, especially in the American and Japanese markets. The market for acne treatment alone is worth about $5bn (£2.63bn) annually, according to a survey last year.
Chromogenex, which is expected to be valued at £6.5m on admission to Aim, evolved out of laser research done by the University of Swansea in the mid-1980s. Since February 2003, when current management acquired the business from US parents, the company has focused on research and development of laser-based products, alongside pulsed light devices.
Results for acne treatment have been particularly encouraging and the success of the company's Nlite system has been documented in The Lancet.
The company is forecast to make a profit of £610,000 on turnover of £4.37m for the year to December.
Peter McGuinness, executive chairman, said the US and east-Asian markets were particularly attractive. Corporate Synergy is adviser and broker.
Shanta Gold has applied to join Aim next month and expects to raise about £5m, which it will use to develop its exploration projects in Tanzania.
Independent consultants suggest that the company's site in Mgusu, near Lake Victoria, contains more than 40,000 ounces of gold. Three other sites in the north of the country have potential deposits of nearly 500,000 ounces. In addition, Shanta has a package of Greenfield projects in the south of the country, which total more than 6,000 sq km. WH Ireland is acting as broker and adviser.
Betex, the online football betting site, joins Ofex today after a private placing to raise £500,000. The shares will start trading at 22p, giving a post-listing market capitalisation of £10m.
The company specialises in Asian-style betting, where stakes are put on "favourites" and "underdogs", rather than home-win, or draw.
Betex intends to roll out the Asian system to a wider audience and also hopes to move to Aim within three months.
Johnny Hon, chief executive, said the market was very attractive. "On an average weekend during the European soccer season, the major bookmakers in Asia make gross profits in excess of $100m."