Completion of Disposal of Wound Care Products and Services
Ilika (AIM: IKA), the advanced cleantech materials company, announces that, further to its regulatory announcement of 18 September 2012, it has completed the disposal of its business relating to the provision of wound care products and services.
This has been achieved through the sale of its wholly owned biomedical subsidiary, Altrika Ltd, to Adiposet Ltd. In return for taking on the Altrika wound care business as a going concern, the consideration due to the Company has been structured as two cash payments totalling £90,000, one payable upon completion and one deferred until June 2013.
As a result of the transaction, the employees, assets and operations of the Company in Sheffield have been transferred to the buyer.
The Company has retained the assets and the business associated with its high throughput platform for the discovery of biologically active materials. This materials business has been integrated into its main operational centre in Southampton and will continue to be deployed for commercial applications in filtration and separation. The Company now has one operational centre, based in Southampton, supported by sales offices in Japan, USA and Germany.
Turnover generated by the wound care business in the financial statements covering the year to 30 April 2012 was ca. £160k (total group turnover ca. £2.0 million), at a gross profit of ca. £10k and a net loss of ca. £427k. The transaction has a small net positive effect on Ilika’s balance sheet and allows the Company to focus the deployment of its capital on its core cleantech programmes.