(Alliance News) - Shares in IP Group PLC sank on Thursday morning as the company announced a raft of changes to its executive board, triggered by the recent successful float of investee business Oxford Nanopore Technologies Ltd.
Shares in the London-based investor in intellectual property-based businesses were 5.9% lower at 128.80 pence each in London, the worst performer in the FTSE 250 index.
IP Group Chief Executive Alan Aubrey and Chief Investment Officer Mike Townend both will retire from their positions effective immediately.
The news comes after Oxford Nanopore's hugely successful initial public offering on the Main Market of the London Stock Exchange last Thursday, that saw the life sciences business almost reach a GBP5 billion valuation.
The float was a big a win for IP Group, a founding investor in Oxford Nanopore with a 14% stake. The firm made around GBP84 million from the sale of shares but retains a 10% stake in the firm, valued at GBP348.8 million based on the offer price.
Oxford Nanopore was up 1.9% at 578.47p on Wednesday. It had floated at 425p a share last month.
As part of the board reshuffle, IP Group announced that Chief Financial Officer Greg Smith will succeed Aubrey as chief executive, while Chief Operating Officer David Baynes will take on responsibility for finance and become chief financial & operating officer.
"During Alan's tenure as chief executive, the value of the portfolio has increased more than 28-fold to over GBP1.2 billion and has produced several companies worth more than GBP1 billion. We are delighted that Greg will step into the role of chief executive and lead the group in its next phase," commented Chair Douglas Flint.
To help facilitate a handover, both Aubrey and Townend will remain as employees until April 6 and as consultants for a minimum of 12 months from April, IP Group said.
Alan Aubrey said: "Following the successful flotation of Oxford Nanopore Technologies on the London Stock Exchange, this felt a natural moment to step back."
By Will Paige; willpaige@alliancenews.com
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