Product Acquisition

Alliance Pharma PLC 15 September 2006 For immediate release 15 September 2006 ALLIANCE PHARMA PLC ('Alliance Pharma' or 'the Company') Further expansion of dermatology portfolio Alliance Pharma plc (AIM: APH), a speciality pharmaceutical company, is pleased to announce that it has acquired marketing rights in the UK and Ireland for the woundcare treatment Permitabs(R), adding a further product to the Company's rapidly growing dermatology portfolio. Permitabs(R), which is used for the cleansing and deodorising of eczematous lesions and wounds, has annualised sales of £275,000. The product, whose sales have been growing at more than 20 per cent a year, was acquired from Derma UK Ltd for a one-off cash consideration of £800,000, financed through the Company's senior debt facility provided by the Bank of Scotland. Permitabs(R), which is included in the British National Formulary of recommended products, is a tablet containing potassium permanganate and is made into a solution by nursing staff for the treatment of patients. The product will be marketed by Alliance's specialist dermatology sales force, which has an increasing number of prescription products to sell and cross sell to dermatologists. John Dawson, Alliance Pharma's Chief Executive, commented: 'This latest acquisition gives further depth to our dermatology franchise, which in a relatively short period of time has become a significant growth area for the Company. We continue to seek and evaluate dermatology products to increase further the range of products marketed by our specialist dermatology sales force.' For further information: Alliance Pharma plc + 44 (0) 1249 466966 John Dawson, Chief Executive Maddy Scott, Finance Director www.alliancepharma.co.uk Buchanan Communications + 44 (0) 20 7466 5000 Mark Court/Lisa Baderoon/Rebecca Dietrich Notes to editors About Alliance Pharma Alliance Pharma, founded in 1996, is an AIM listed speciality pharmaceutical company based in Chippenham, Wiltshire, UK. The company has a strong track record of acquiring the rights to established niche brands and owns, or shares, the rights to 34 branded pharmaceutical products and continues to explore opportunities to expand the range. Alliance Pharma's products are prescribed in the treatment of a wide range of conditions and include brands used in periodontitis (a serious gum disease), the prevention of heart disease, in Parkinson's disease, in nutrition, in nasal infections, in the treatment of dermatological conditions and in childbirth. Alliance Pharma's sales are mainly prescription driven. Its products are distributed to hospitals directly and to UK and International pharmaceutical wholesalers which service both hospital and retail pharmacies with their prescription requirements. Alliance Pharma is also developing Posidorm for sleep disorders and Isprelor for the induction of labour. Alliance Pharma joined the AIM market of the London Stock Exchange in December 2003 and trades under the symbol APH. This information is provided by RNS The company news service from the London Stock Exchange
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