The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
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So many interviews, but the SP continues to languish.
https://www.vo%78markets.co.uk/articles/live-company-group-arix-bioscience-and-pires-investments-f0e0d7c
(~12m20s in)
The webcast (which needs registration) and the presentation (which doesn't) from the Proactive 11 June event are available here :
https://arixbioscience.com/investor-relations/events-presentations
The "Financial snapshot" on Page 4 is a good summary of where things stand.
I'm surprised we still haven't had TR1's for the Link/Acacia transfer.
This is one of those stocks that sit there quietly under the radar....and typically big news could hit at anytime massively adding value to the SP I've been on the side lines waiting but think I am going to make a buy very soon....
https://www.proactiveinvestors.co.uk/companies/news/921677/proactive-meets-arix-bioscience-s-new-chairman-and-hears-why-he-s-bullish-on-its-portfolio-921677.html
"Proactive London's Andrew Scott chats to Arix Bioscience PLC's (LON:ARIX) chairman Naseem Amin who took on the role in April this year.
He discusses some of the recent significant changes at the group including its entrepreneur-in-residence, Christian Schetter, who's been appointed managing director of the venture capital company alongside Jonathan Tobin as well as the establishment of both a scientific advisory board (SAB) and a board investment committee (BIC)."
We are definitely part of the Link/Acacia deal - thanks to gkb47 on the SNG board for finding this :
http://filings.irdirect.net/data/934549/000090266420002355/p20-1216form8k.pdf
so we should expect the corresponding TR1's soon?
Note that Acacia have already sold off some shares in some (not all) of the other companies involved. Anyone want to guess what they'll do here?!
Thanks SGD: A happy life & a happy wife is beyond price. All the best.
Hi lignumvitae, I do appreciate that info, and will take a look at ORGS. However, I've made an agreement with Mrs SGD27 to start winding down my single stock investments over the next few months, having recently had a spectacular success with SNG (which has more than covered some of my earlier disasters!).
I'll continue with Arix for now though, as I regard it as being more like a fund than a single stock - and also because I believe it is offering a rare "Grahamite" opportunity.
BTW, I don't know if you've followed it, but there have been some interesting developments today involving Link & Acacia, which I'll probably post about later or tomorrow.
ATB
Hi SGD27: You obviously like to do your own research. So you might like to have a look at Nasdaq quoted ORGENESIS. There are loads of announcements to get to grips with and it is not an easy company to understand. But [a] it is cash rich & [b] if you email them then they do reply. My query was on their diabetic research & i was answered by their Chief Scientific Officer, Dr Sarah Ferber who has a considerable reputation. Their diabetic programme is ground breaking & may come to nought but it is their flagship project & would be a company maker if successful. But it is not a one trick pony as you will see.
Of course, buying an overseas stock does carry higher costs & please do diligent research. I like the quality of the institutions that they are aligned with & the breadth of their programmes. And there is nothing more satisfying that getting into a quality USA pharma at the early stages [easier said than done]. I like this company but i may, of course, be wrong.
Hi lignumvitae - saw the rise, did the maths & did the buy! Can't believe mine's the only trade of the day (so far). Plenty currently available @ 96.4p.
Nasdaq quoted IMARA THERAPEUICS is currently up 7.5% on the day @ $59 = Market Cap $1.02 Billion. . ARIX 9.4% holding = Value $95.88 Million. Do the maths.
Yes the spread is terrible, reflecting the illiquidity. So little interest here despite all their attempts at publicity, interviews etc. Perhaps this event on Thursday will help :
https://www.proactiveinvestors.co.uk/register/event_details/250
Of course an under-the-radar share can sometimes be an opportunity.
I see the Imara SP rise seems to be holding quite well.
New Managing Director announced - no mention of the outgoing MD with the customary "thanks for his invaluable contribution etc etc" which seems a bit strange. Setting up a Scientific Advisory Board and Investment council looks long overdue. They appear to have some pretty impressive names on the SAB:
Ruth Atherton, PhD, JD, executive sponsor of the Bill & Melinda Gates Foundation Global Access Team, leading development and implementation of the foundation’s intellectual property strategy;
Andreas Busch, PhD, former Head of Research & Development and Chief Scientific Officer at Shire Pharmaceuticals;
Professor Trevor Jones, CBE, FMedSci, current Arix Non-Executive Director, former Group R&D director at The Wellcome Foundation Limited; and
Professor KJ Patel, FRS, FMedSci, Director of the MRC Weatherall Institute of Molecular Medicine and MRC Molecular Haematology Unit in Oxford.
My gut feel is that Arix share price could be due a decent run up to 100p++ if we get some positive news flow from their investment portfolio. I'd like to buy some more but the spread is still putting me off.
Thanks for posting this SGD27. I listened this morning and it was an impressive pitch by the Arix MD Jonathan Tobin. Harpoon and Autolus both sound like they have breakthrough potential in cancer treatments and should make good news flow to drive the share price. Considering adding some more, but the 91/97 spread today has put me off.
The Acacia deal is done. They're not saying which specific stocks were involved though.
https://equityincome.linkfundsolutions.co.uk/media/rocjnpk5/q-a-regarding-healthcare-assets-sale-05-june-2020.pdf
Thanks lignumvitae - that really is impressive! Now accounts for circa 50p per arix share on its own.
I think Benjamin Graham might have invested here :-)
The investee stock that is driving Arix NAV at the moment is Nasdaq lsted Imara. Launched on Nasdaq at $12.5 on 12th March & now on a steep upcurve. Closed yesterday at $52.25 = Market cap $900 = approx £70m to Arix.
Do not think that the market [ie the Arix share price] has taken this on board.
I'd genuinely forgotten that this stock can go UP.....best day in months if not years. There is a bear market rule that fits this stock perfectly: if you hold it, don't add down here, wait for it to get back to your break-even price and double up.
I've never been worried about being underwater in it. The long term attractions were always obvious to me, whilst the overhang and the reasons for it were obvious to all. We just needed to get that overhang cleared. The price action suggests we're getting nearer to that point. Good luck, all.
I just talked myself into a top-up purchase today to bring my average buy price down. Good luck to all who hold..
I bought a small tranche in July 2019 and still holding patiently. Hoping that Arix will pull out of the slump in share price at some stage, and encouraged by the comments in the recent Hardman & Co analyst review:
https://www.hardmanandco.com/wp-content/uploads/2020/05/ARIX-1Q-Portfolio-update-19-May-2020.pdf
ARIX offers investors an opportunity to gain exposure to high-growth potential, early-stage biotechnology companies through a basket of 17 company investments, six of which are listed. Compared with direct single-stock investments, ARIX offers
investors a more balanced risk-reward profile.
At the close of business on 15 May 2020, the NAV was £206.9m, or 153p per share based on its current investment portfolio, which comprises:
? Core portfolio: Consisting of 11 companies with a total book value of £159m (77% of NAV), of which the six listed companies represent £117m.
? Discovery portfolio: Consisting of five companies with total book value of £18.1m (3.8% of NAV).
? Other interests: Totalling just £3.3m (1.4% of NAV).
? Cash: Gross cash of ca.£40.0m, of which ca.£2.0m is ring-fenced for existing portfolio company investments.
Given that the current market capitalisation of ARIX is just £110.5m (15 May 2020), the market appears to be valuing ARIX stock on the basis of cash (£40m) and only 40% (£70.5m) of the book value of ARIX’s core portfolio companies. Given that
there is increasingly positive momentum behind life sciences companies in the COVID-19 environment, the current 47% discount to NAV should be viewed as an opportunity, especially given the news flow expected to be announced by portfolio
companies in the coming months.
Arix’s Amplyx Pharmaceuticals secures over $90m in funding - https://bit.ly/2Xb043y
If Arix have enough spare cash, it might make sense for them to buy back the Woodford shares themselves!
Welcome to the board.
Woodford holds about 19% of the shares in Arix. Until that holding is transferred into a long term holder's hands there is a possibility that a sale will be forced at whatever price can be obtained, and in my opinion that is why the share price has been weak in recent months.
Been on my watch list since inception Arix are doing a lot with T cells and Myeloma immunology drugs which in my opinion is the way forward disappointing to see the huge slide in the SP but I may be dipping my toe in the water today.....