UK skin care firm's shares still suspended

Market conditions endanger funding ​

The company has been struggling to make repayments on an outstanding ₤632,000 loan, and has failed to find the extra funds needed, according to press reports.

Shares were suspended in June as the company did not publish its annual 2007 financial figures.

According to statements made yesterday the company is still not ready to publish its half year results and shares are therefore still suspended.

The company blames market conditions for its inability to find funding and has hired a corporate financial consulting and advisory firm to help.

Dermasalve manufactures skin moisturisers and hand cleansers that are designed for sensitive skin.

Hopes for African expansion​

Last September it closed a deal with South African health care firm involving a range of moisturisers including products for the face, body, hands, heels and one specially formulated for infants and babies.

At the time of the deal a company spokesperson explained the market presented a perfect expansion opportunity for Dermasalve, as it is English speaking and the company has strong links in the region on which it could build.

In addition the company had high hopes for its hand cleanser, SafeCleanse, which it claims is effective at killing viruses, bacteria and fungi, including HIV, MRSA and avian flu, whilst minimising the skin damage associated with most alcohol products.

A further partnership with South African company New Horizons, entered into last year, was expected to bring significant revenues to the company, involving the launch of the hand cleanser across the continent.

At the time, the company stated it expected the deal to bring up to £5 million in sales revenue to DermaSalve Sciences in 2008, with significant increases hoped for future years.

According to recent press reports, the company has won a contract in South Africa for the cleanser, but it would not reveal the size of the deal.