Omega sets up Indian arm as it eyes Brics

Medical testing kit maker Omega Diagnostics is setting up an Indian offshoot as it looks to grow business in booming “Bric” countries.

The firm, based in Alva, Clackmannanshire, is concentrating on organic growth after splurging on the acquisition of German allergy-testing business Allergopharma for £5 million last November.

Shares in the firm jumped more than 7 per cent yesterday after it said current trading was slightly ahead of previous expectations

In a trading update, it added that Brazil, Russia, India and China remain a focus for the group, being markets with the potential for major growth. Setting up a wholly owned subsidiary in India will involve “minimal” initial costs but the operation can be scaled up as its business grows, it said.

It said: “India in particular has been one of the largest global markets for the group for many years and as such, having the right channels to market in place ahead of launching allergy tests is key.”

Contributions from Allergopharma meant Omega’s turnover for the six months to 30 September was around 68 per cent higher than the same period last year. The company is expected to show sales hit £5.53m when it publishes half-year results next month. It said second-half performance will be dependent on the successful roll-out of new allergy-tests and the continued growth of popular existing products.