UK Biotechnology Sector In The Doldrums

21 July 1996

Bears have taken over the UK biotechnology sector to such an extent that highflyer British Biotech's stock has fallen from around L35 per share at the end of May to L20.40 on July 15 (see also pages 8 and 9), a decline of around 40% over that period. The current price is also below that of the L20.50 share price for the L143 million rights issue that closed on July 17.

The sector's stocks have been falling for most of July, which some observers say has been prompted by the flood of share issues and BB's L143 million rights issue, which was the largest ever in the sector. And there are still more companies waiting to make flotations.

Therapeutic Antibodies, a US biotechnology company, is placing just over four million shares at 525 pence per share on the London Stock Exchange. Last month, TAb said it was seeking a L30 million institutional placing, valuing the firm at around L150 million (Marketletter June 10). However, the firm now expects to raise L22 million, L8 million less than previously stated, which gives the firm a valuation of L112 million.

This article is accessible to registered users, to continue reading please register for free.  A free trial will give you access to exclusive features, interviews, round-ups and commentary from the sharpest minds in the pharmaceutical and biotechnology space for a week. If you are already a registered user please login. If your trial has come to an end, you can subscribe here.

Login to your account

Become a subscriber

 

£820

Or £77 per month

Subscribe Now
  • Unfettered access to industry-leading news, commentary and analysis in pharma and biotech.
  • Updates from clinical trials, conferences, M&A, licensing, financing, regulation, patents & legal, executive appointments, commercial strategy and financial results.
  • Daily roundup of key events in pharma and biotech.
  • Monthly in-depth briefings on Boardroom appointments and M&A news.
  • Choose from a cost-effective annual package or a flexible monthly subscription
The Pharma Letter is an extremely useful and valuable Life Sciences service that brings together a daily update on performance people and products. It’s part of the key information for keeping me informed

Chairman, Sanofi Aventis UK





Today's issue

Company Spotlight