* Optimistic of key drug getting approval in US - CEO

* Sees European approval of drug from 2011 onwards

* Raises 2.1 mln stg from share issue

* Shares up 9.8 pct (Recasts; adds CEO, FD comments)

BANGALORE, March 1 - Britain's Allergy Therapeutics (AGY.L) swung to a first-half pretax profit, helped by cost cuts, and said it was comfortable with the full-year market view, sending its shares up nearly 10 percent.

The company, which expects to get regulatory approval for its lead pollen-allergy vaccine, Pollinex Quattro, across Europe from 2011 onwards, also raised 2.1 million pounds ($3.20 million) through a share issue to repay long-term debt and fund acquisitions in key markets.

The business is turning around right now. The only question is when we will see the first year of full profit. We think this year, probably, would be a little better, Financial Director Ian Postlethwaite told Reuters.

Analysts on average expect Allergy to report a pretax loss of 3.5 million pounds, on revenue of 41.5 million pounds in the year to end-June, according to Thomson Reuters I/B/E/S.

The company, which already sells Pollinex Quattro in a number of European countries on a named-patient basis, books most of its sales in the first half due to seasonality of its business.

A named-patient program allows physicians to legally prescribe investigational or approved drugs for patients before their commercial launch.

The company sees launching Pollinex Quattro in its biggest market, Germany, in the first half of 2011.

In terms of sales, there is not going to be a huge impact because we are already commercialising the product on the named-patient basis. It is more a regulatory compliance issue, Chief Executive Manuel Llobet told Reuters.

The company, which is still waiting for U.S. authorities to lift a clinical hold on its lead product, said it expected to submit its response to the U.S. Food and Drug Administration in the second quarter.

The CEO said he was optimistic about receiving U.S. regulatory approval for the drug.

For the six months to end-December, the company reported a profit of 5.6 million pounds before tax, compared with a loss of 8.4 million pounds a year ago.

Revenue rose 12.9 percent to 27.3 million pounds.

Allergy Therapeutics said it had adequate resources to continue its operations in the foreseeable future and had 12.4 million debt outstanding.

It issued about 16.8 million shares at 12.5 pence apiece, a discount of about 2 percent to its Friday close.

The company's shares were up 9.8 percent to 13.75 pence at 1315 GMT on Monday on the London Stock Exchange. ($1=.6562 Pound) (Reporting by Aditi Samajpati in Bangalore; Editing by Vinu Pilakkott)

Germany United kingdom U.S.