Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at http://citywire.co.uk/wealth-manager/article/a723696

Invesco dumps £70m Capita stake as Woodford sell-off escalates

by Robert St George on Dec 10, 2013 at 14:31

Invesco dumps £70m Capita stake as Woodford sell-off escalates

The Neil Woodford sell-off continues as Invesco Perpetual sold a sizeable stake in Capita on 5 December.

According to an announcement on the London Stock Exchange this afternoon, Woodford sold a stake worth almost £70 million in Capita. Invesco still owns 21% of the outsourcing giant and Capita's share price stood at £9.98 at 2pm today, 1% shy of its level a week ago.

Earlier in the day, Wealth Manager revealed that Invesco has trimmed a number of its holdings as redemptions in its income franchise escalated following Woodford's resignation in October.

The disposals include the entire stake in one of Neil Woodford’s favoured smaller companies Assura Group, an investor in medical property.

Invesco confirmed yesterday that it sold all of the 92 million shares held in the firm, which Woodford has owned for at least seven years. The sale on 5 December netted Invesco around £35 million, with Assura's share price at 11am standing at 38p, down 2.5% over the past week.

The fund house also revealed yesterday it has offloaded 1.3 million shares in Provident Financial, another of Woodford’s long-standing picks, for approximately £20 million. That disposal occurred on 5 December, and Provident Financial’s at 11am was 1.9% ahead over the past week at £16.26. Invesco has retained a 24% stake in the credit provider.

Meanwhile, another £22 million has been taken from Drax after Woodford sold 2.8 million shares in the power producer on 5 December. Invesco still owns 29% of Drax, whose share price has surged over the last week by 14.5% to sit on £7.84 at 11am today.

Woodford’s flagship Income and High Income funds have suffered significant outflows since his departure was announced in October, shedding more than £500 million in that month alone. The Financial Times has since estimated that Invesco has received redemptions worth more than £2 billion from Woodford’s funds over this period.

On the same day that Invesco sold its Assura stock, Artemis snapped up 43.6 million shares in the firm, taking its ownership of Assura from 8.8% to 17.1%.

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Long time coming: is the recovery here to stay?


Ian McVeigh and Steve Davies, managers of Jupiter's UK Growth fund, talk about their predictions for the UK equity space. Click here to watch a series of sponsored interviews with Jupiter's fund managers on the UK equity market.

Today's top headlines

More about this:

Look up the funds

  • Invesco Perpetual Income Inc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Invesco Perpetual High Income Inc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Look up the shares

  • Assura Group Ltd (AGRP.L)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Provident Financial PLC (PFG.L)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Drax Group PLC (DRX.L)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Capita PLC (CPI.L)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Assura Group Ltd
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Look up the fund managers

  • Neil Woodford
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

More from us

Archive

On the road

Click here to find out more from the Audience Development team.

Read more...

Co-op files £2.5bn loss after 'disastrous' 2013

by David Campbell on Apr 17, 2014 at 09:20

Sorry, this link is not
quite ready yet