British Biotech's New Chapter: A Watershed Moment in the Company's History

British Biotech's recent legal settlements and out-of-court agreement with Dr. Andrew Millar, a former employee turned whistle-blower, mark a significant turning point for the company. Having cleared its name of past controversies, British Biotech now stands as a newly-floated company with a healthy balance sheet, an unproven product range, and an untested management. This new era may give rise to bold decisions, such as mergers or acquisitions, to fill the gaps in its product line. As the company prepares to announce its final figures, expectations are high, with First Call predicting a loss of £34.5m, significantly lower than the previously reported headline loss of £44.8m.

Key Takeaways:

• British Biotech has resolved its high-profile case with the US Securities and Exchange Commission and reached an out-of-court settlement with Dr. Andrew Millar, clearing its name of past controversies.
• The company's new balance sheet, combined with an unproven product range and untested management, presents opportunities for growth and expansion.
• British Biotech may look to plug the holes in its product line through mergers or acquisitions, potentially leveraging its healthy balance sheet.
• First Call predicts a loss of £34.5m for British Biotech, down from a previously reported headline loss of £44.8m.
• The company's final figures, expected to include comments on its future, may overshadow the actual financial numbers.
• FI Group, a computer services company, is expected to continue strong growth patterns in the software industry, with interim profits 75% ahead and predicted final numbers 50% ahead at £15.9m.
• Peel Holdings, a property company, may take the opportunity presented by its results statement to announce a management buy-out, considering its current trading conditions.
• Coral Products, faced with the challenges of low-priced imports, is expected to report a pre-tax result of £2m (£1.27m).

Statistics:

• First Call predicts a loss of £34.5m for British Biotech, down from a headline loss of £44.8m.
• FI Group's predicted final numbers are 50% ahead of its interim profits, totaling £15.9m.
• Peel Holdings' estimated net asset value is 863p, significantly higher than its current trading value of 675p.
• Coral Products' expected pre-tax result is £2m (£1.27m).

Sources:

• "The Financial Times"
• "First Call" (predicting British Biotech's losses and FI Group's profits)
• Copyright Financial Times Limited 1999. All Rights Reserved.