Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Odey buys £70m stake in biotech new boy

Odey buys £70m stake in biotech new boy

Hedge fund luminary Crispin Odey's investment boutique snapped up a large interest in Circassia Pharmaceuticals upon its initial public offering on 13 March.

Odey (pictured) bought 22.5 million shares in Circassia – a stake worth almost £70 million and equivalent to 12% of the business.

According to a filing on the London Stock Exchange, the holding is spread across a number of funds, with Crispin's Odey European fund holding 3.79% and all other funds holding less than 3%.  

The flotation of Oxford-based Circassia was the biggest in the UK’s biotech sector for decades, and at an initial launch price of £3.10 valued the firm at the very top of the expected range.

Circassia specialises in the development of allergy therapies, and it plans to use the proceeds from the listing to roll out its cat allergy treatment and develop other products for grass and dust-mite allergies.

It lost £20 million in 2013, but is now valued at almost £600 million.

'This is a milestone achievement in Circassia's history which demonstrates the significant progress we have delivered over the past seven years,' Circassia chief executive Steven Harris told the stockmarket last week. 

He added: 'We have been met with an enthusiastic response from investors across the UK, US and EU who have recognised the significant potential of our product portfolio and platform technology.

'As a result, we now have funds to bring Cat-SPIRE to market; the first of a new generation of allergy immunotherapy products that have the potential to overcome the limitations of current treatments.'

Odey’s firm, which he launched in 1991, oversees more than £7 billion of assets.

Crispin Odey personally runs a range of funds, including the Odey Pan European fund and is + rated by Citywire.

According to Citywire data, the fund has returned 32.8% over the past three years, compared with an average of 25.8% from his peer group.

He is also a renowned shorter of stocks, and among others is currently betting against Manchester United and Sainsbury’s.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Foster: the world’s most unconventional monetary policies

Brewin's Foster: the world’s most unconventional monetary policies

In this week's podcast, Guy Foster asks why the world’s biggest economies are pursuing some of the world’s most unconventional monetary policies. 

Play Charles Tan on Woodford & hidden trust income gems

Charles Tan on Woodford & hidden trust income gems

Cantor Fitzgerald investment company analyst Charles Tan discusses Woodford Patient Capital and some of the income trusts slipping under the radar.  

Play Taxicab Tenner: SGPB Hambros CIO Eric Verleyen

Taxicab Tenner: SGPB Hambros CIO Eric Verleyen

In the second episode of our new series, Verleyen jumps on board a black cab and explains how hard it's become to find good valuation on the market.  

Wealth Manager on Twitter