http://www.hardmanandco.com/Research/Alliance_June2005.pdf


Web Site : http://www.alliancepharma.co.uk

http://www.hemscott.com/hstoday/Focus_2005/Alliance%20Pharma_1205_2005.htm

Hardmans late June 2005 update

Fair value at 30p

http://www.hardmanandco.com/Research/Alliance_June2005.pdf

squidd it looks like another up day today !!

squidd here is why;

http://www.timesonline.co.uk/printFriendly/0,,1-5-1661099,00.html

June 20, 2005

Biotech sees riches in sleeping market
By Richard Irving

A DRUG that could end the nightmare of long-term sleep deprivation is about to enter phase three trials.

Posidorm will begin final testing among 600 volunteers across Britain next month and, if successful, could unlock a market that is estimated to be worth 4 billion (2.7 billion) a year from 2007 for the Chippenham-based biotech Alliance Pharmaceuticals. It is estimated that about 20 million people in Europe, including the elderly, shift-workers and the blind, suffer some form of long-term sleep deprivation.

Regulatory approval might also help the medicine to achieve cult status as a lifestyle treatment among travellers suffering jetlag and even among late-night revellers.

Posidorm is a synthetic replica of melatonin, a hormone produced in the pineal gland at the back of the eye. The body ramps up production of the chemical as darkness falls to help to induce drowsiness. Production stops around dawn.

The hormone is available in the United States as a dietary supplement, but regulators elsewhere believe that the treatment should be developed as a pharmaceutical so that it can be properly clinically tested.

It is unlikely that Alliance will be able to protect Posidorm with patents, although the company will file for regulatory approval under the orphan drug programme, which will give it exclusive marketing rights for ten years.

John Dawson, the Alliance founder, who with his wife owns 42 per cent of the business, plans to seek a licensing partner to help to sell the medicine.

The sleep disorder market is almost completely unsatisfied, he said. If we can capture just 1 per cent of the potential for this treatment in Europe, we can bring in 40 million of sales a year.

Doctors struggle to treat insomnia. They are reluctant to prescribe sedatives, partly because they are addictive and can be abused in large doses and partly because they lose their efficacy over time.

Posidorm will be formulated in a tablet so that patients get an initial, fast-acting dose to help to bring on sleep and a subsequent top-up that releases slowly throughout the rest of the night.

Alliance was founded in 1996 to exploit mature drug brands that big pharma no longer considered profitable. It struck its first deal in 1998, when it picked up 16 brands under a marketing and distribution deal with Novartis. It floated on AIM in 2003 and last year made two significant brand acquisitions: Periostat, a treatment for gum disease, and Forceval, a prescription drug containing 24 vitamins and minerals for use among people who are malnourished.

Alliance reported a pre-tax profit of 400,000 in the year to the end of February on sales of 11.8 million.

PCF Last week issues an RNS stating that they had been approached in the early stages of a bid. The current valuation is way to low and is about to rocket with the full bid any day. The company is moving back into profit and several broker/tipster recommended it as a buy prior to the bid news

On top of this there is a rumour of a second bidder in the wings going about

This will reach new highs this week, now is the time to get in before it heads toward 100p, current sp is 32p

IMHO

squidd more info;

http://www.hemscott.com/hstoday/Focus_2005/Alliance%20Pharma_1205_2005.htm

PpP: (I presume trader4 is a crossed thread)
The APH chart is looking more and more like a classic recovery play, backed up by your excellent news flow. I was pleasantly surprised to learn about Posidorm, having not noted it earlier, so I'm glad to be on board.
I am now looking hard at TAG.
sd.

squidd more good news;

RNS Number:8284N
Alliance Pharma PLC
21 June 2005
For Immediate Release

ALLIANCE PHARMA PLC
Annual General Meeting Statement

Alliance Pharma plc (AIM: APH), an emerging speciality pharmaceutical company,
held its Annual General Meeting in London today, at which all resolutions were
duly passed.

At the meeting, Michael Gatenby, Alliance Pharma's Chairman, said:

"The first quarter has seen a continuation of the progress reported at our full
year results. Sales have continued to grow, and are on target to meet
expectations. At the full year we highlighted our improving gross margin, and I am pleased to report that first quarter trading has continued to reflect this
trend.

"Good progress continues to be made with our development projects: Posidorm
(melatonin) for sleep disorders and Isprelor (misoprostol) for induction of
labour.

"In addition, and in line with our strategy, we will continue to seek high
quality, cash generative acquisitions of established prescription brands."

At the Extraordinary General Meeting later the same day the Company Share Option Scheme was approved.
ENDS
For further information:
Alliance Pharma plc + 44 (0) 1249 466966
John Dawson, Chief Executive
Maddy Scott, Finance Director
www.alliancepharma.co.uk

squidd another big vote of confidence;

Alliance Pharma PLC
24 June 2005
For Immediate Release 24 June 2005

Alliance Pharma Plc

Notification of Major Interests in Shares

Nigel Wray acquires additional shares in Alliance Pharma

On 23 June 2005, the company was notified by Nigel Wray that he has purchased
an additional 3,250,000 shares at 15p in the company bringing his total holdings in Alliance Pharma to 9,605,407 ordinary shares or 6.58% of the issued share capital.

-ENDS-

For further information:

Alliance Pharma plc + 44 (0) 1249 466966
John Dawson, Chief Executive
Maddy Scott, Finance Director

www.alliancepharma.co.uk

squidd we should get some more news soon as well as on Wednesday 22nd in the last 30 minutes of trading there was over 19 million buys at 15p, so now we know 3.25 million was Nigel Wray but whose were the others ?

squidd a good rise today and we should have more news coming next week on who purchased the other 16 million at the same time as Nigel Wray.

PpP: On a day when the market as a whole was depressed, it was a particularly good performsnce by APH. My chart now seems to be looking up at the sky.
I've been looking into the history of Nigel Wray's investment history. He certainly had a mixed record as an entreprenuer during the dotcom boom years, like the rest of us, but latterly seems to have matured and made many shrewd moves. He obviously bears watching as APH (and others) progress.
sd.

squidd all is looking good and in terms of increased growth Periostat will give this however should the other ones come on line after phase 3 trials then it will keep pointing at the sky. The mid term for APH is very strong and of course they are already a profit making company.

I have the very same feelings on OSH and shall be adding in the coming weeks and months, OSH for me is short term small ups (maybe some small downs) but then it will go skyward mid term.

squidd another blue start to the day and poiting very much to the sky.

PpP: Yes! Nothing like a splash of blue at the top of the alphabet to beat the Monday morning blues. (But shouldn't say that as a holder of ULT).
Your new thread header on it's own, is worth a couple of points and APH, in the short time I've held it is challenging my front runner CSB.
I continue to look hard at TAG but not finding anything new.
sd.

squidd the two big delayed reporting buys early in the morning (shown as 150K sells as reported after the move up) is what pushed it up, followed by a 25K sell at mid price. Very short of stock here and any large buy is pushing it up more and we are still due more news on holdings increases in my opinion this week.

squidd the MM's must be very short of stock as its gone up again after a little bit more buying.

squidd its another lovely blue day and looking strong for the rest of the week.

Melatonin is starting to appear on hospital prescription sheets especially in the area of Dementia. It does not appear in the BNF (British national formulary)the last time i looked as it is not licensed.What makes that OK i dont know but I will enquire.It seems to work especially in this difficult client group. Benzodiazipines and other sedatives are really useless after a while. If a natural remedy could be used frequently without gradual resistence it would make my job a lot easier and has been suggested here a huge pharmalogical money maker. Frodo

frodo thanks for the info. squidd MA25 looks like its going to cross MA200 all good stuff will it be a strong positive push from there.

On the move up again today.

Up we go yet again they must be really short of stock here and cannot get any decent size sells to its going to have to just keep going up.