Wealth Manager - the site for professional investment managers

Register for full access to Citywire’s Fund Manager database, news and analysis. Registration is free and only takes a minute.

Abramovich doubles stake in biofuels minnow

Abramovich doubles stake in biofuels minnow

Chelsea-owner Roman Abramovich has bitten off another big chunk of biofuels company Velocys having near-doubled his stake in the business over the past month.

Abramovich, via his Ervington Investments vehicle, upped his holding in the company from 7.75 million shares to 9.02 million or 7.71% worth £19.94 million at a share price of 221p.

The announcement went out to the market following Wednesday’s close. In early trading on Thursday shares in the business were up 6.01%, with additional impetus from the initiation of coverage by broker Cannacord Genuity as a speculative buy on a price target of 400p.

Numis rates the company a buy with a price target of 227p. Abramovich’s purchase puts him among the top four investors in the company, behind Lansdowne Partners, Citywire AA-rated Henderson UK Equity Income manager James Henderson and Ruffer.

Since he initially invested in the business at the  end of 2012 shares have risen just over 50%.

Previously known as Oxford Catalysts, the company converts waste-generated methane gas into liquid fuels.

The company is currently in the planning stages to build Europe’s first waste-biomass to jet fuel plant outside London, in association with British Airways.  

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Inside ETFs: Why the US bull-run still has legs

Inside ETFs: Why the US bull-run still has legs

Global equities suffered a sharp sell-off in the third quarter but exchange traded fund investors are continuing to back the US to outperform in 2015

Play Paul Niven: I won't rip up the Foreign & Colonial Trust history book

Paul Niven: I won't rip up the Foreign & Colonial Trust history book

The newly appointed manager of the Foreign & Colonial trust talks about his plans for UK's oldest investment company.

Play Dangerous daisy chains, Black Friday blues and Uber valuations

Dangerous daisy chains, Black Friday blues and Uber valuations

This week’s Investment Pulse looks at the domino effect in European banks, America’s disappointing Black Friday and how much Uber is really worth.

Your Business: Cover Star Club

Manchester wealth firm hires Coutts director for London launch

Manchester wealth firm hires Coutts director for London launch

Former Coutts director Tony Robinson has joined Chartered Wealth Management to head the company’s newly opened London office.

Wealth Manager on Twitter