Waverley Pharmaceutical (A)
Subject
Entrepreneurship
Publication Year
1995
Abstract
"I'm running an undercapitalised company and it's just not possible any longer. We must do something about it,' said Howard Rose, Managing Director of Waverley Pharmaceutical. In early 1991, Rose and Bill Muddyman, Waverley's main financial backer and major shareholder, met to consider the company's future. Waverley had come a long way since its founding in 1987 as a start-up contract blow-fill-seal (BFS) pharmaceutical manufacturer based in Runcorn, England. During 1990 the company had made its first operating profit, and the company was now intending to build a new line of business based on the development of its own products. The new strategy would incur additional development expenses as well as require further investment in fixed assets and working capital. In addition, a £2.56 million long term loan provided by Muddyman was due to mature in just over a year, and Muddyman wanted to reduce his overall exposure to the business. Rose and Muddyman wondered what was the best way of putting the business on a sounder financial footing and how should they go about it.
Topic List
Entrepreneurship, Opportunity Assessment, Starting-Up, Financing, Growth, Failure
Industry
Pharmaceutical
Publication Event Date
1986-1991
LBS Case Number
CS-94-003-03
Location
UK
Project Funder
EU FP5
Publication Research Centre
Entrepreneurship
Supervisor
JOHNSON, R M
Available on ECCH
No
