Animal care targets European expansion

Apr 21 2008 by Andrew Mernin, The Journal

THE North’s newest member of the AIM market has revealed ambitious plans to break into eight European countries with the launch of a string of new products.

Animalcare Group, which is run by North East businessman Simon Riddell and has operations North Yorkshire, Newton Aycliffe and Northamptonshire, makes pharmaceuticals for animals and is geared up for a rapid expansion drive.

The company, formerly known as Richey group until it bought Animalcare Ltd in January, expects to see last year’s annual sales figure of £8.3m soar to £17.5m by next year as the acquisition of the pharmaceutical business comes on board.

The firm, which joined the AIM in January, is also set to enter the European market by launching a number of new animal pharmaceutical products.

The business has already gained European registration in eight countries to market a pain control drug for cats and dogs which it hopes to launch overseas in the summer.

This year will also see the European launch of a drug to treat heart failure in dogs while a further six products are currently being developed for launch on the Continent within two years.

The business is also expected to land two major deals for its division which makes and supplies livestock products such as identification tags for cattle to agricultural retailers.

The two contracts, which could include a deal to supply identification tags for equipment, would “noticeably increase” the size of the firm’s 150-strong workforce, said Mr Riddell.

The managing director also said the company remains on the look-out for acquisitions, although it is unlikely to add to its portfolio this year.

He said: “We’re always talking to other companies who are interesting in selling their businesses and the market is consolidating so we are keen to acquire businesses. The main focus over the next two years is to invest substantial sums on developing generic equivalents of branded pharmaceuticals for animals.”

Mr Riddell, who lives in Stamfordam, Northumberland, served in the army for several years and spent 10 years at Procter & Gamble in Newcastle until 2000.

He then worked at Tommee Tippee owner Jackel International in Cramlington under Ann Hunter-Love, who was jailed in 2006 for plotting to murder her former partner and his new wife.

His current role at Ritchey and then Animalcare began in 2005.

PAGE TWO: A note from Brewin Dolphin on Animalcare Group.