HBM Healthcare Investments - Looking ahead to renewed opportunities

HBM Healthcare Investments (HBMN) posted its first NAV loss in a decade for FY22 (ended 31 March), but, as shown in the chart below, its long-term performance record remains very impressive. The recent fall in the share price from a premium to a discount to NAV (10.0% at 20 May) could present an opportunity for long-term investors who, like HBMN’s management team, remain convinced of the long-term opportunities afforded by careful investment in the healthcare and biotechnology space. HBMN is unu

HBM Healthcare Investments - A stellar year to mark 20th anniversary

HBM Healthcare Investments (HBMN) has posted record returns in its 20th anniversary year, with NAV and share price total returns of 52% and 79% respectively in Swiss franc terms for the 12 months ended 31 March 2021, and net assets surpassing CHF2bn for the first time. The fund has evolved from a pure private equity focus to a public-private hybrid, with a large proportion (67%) of its listed portfolio made up of companies that began in the private portfolio but have continued to be held post IP

HBM Healthcare Investments - Top 10 holding Viela Bio to be taken out for $3bn

HBM Healthcare Investments (HBMN) is set to receive $92.75m through the takeover of portfolio holding Viela Bio by Horizon Therapeutics, a c 47% uplift on the value of the position at 31 December 2020 and a 53% premium to the closing share price on 31 January 2021. In our view, the takeover (which is expected to complete during the current quarter) further validates HBMN’s private/public approach, with the price paid representing a c 4x return on the fund’s initial pre-IPO investment of $20m in

HBM Healthcare Investments - Keeping calm amid the market turmoil

HBM Healthcare Investments’ (HBMN’s) portfolio is still in line for a positive FY20 (NAV TR +13.2% at 24 March 2020 compared with the 31 March FY19 year-end), with the share price largely flat (+1.3%) over the 51 weeks despite the recent global stock market sell-off. Its managers attribute the relative strength to a combination of strong IPO activity from the private portfolio, taking profits in some listed holdings as markets peaked in February, and hedging (through short index positions) in th

HBM Healthcare Investments - Private/public healthcare fund continues to deliver

HBM Healthcare Investments (HBMN) has continued to produce solid NAV and share price performance, buoyed by recent IPOs from its private portfolio (with more expected to come) and a significant revaluation of largest holding Shanghai Cathay R&D. The Switzerland-listed fund holds a blend of private and listed healthcare companies and funds, diversified by geography and clinical focus, and has significantly outperformed the MSCI World Health Care Index over one, three, five and 10 years in both sh

HBM Healthcare Investments - Strong results show success of strategy

HBM Healthcare Investments (HBMN) has reported extremely strong results for the first half of FY19 (to 30 September), with net earnings of CHF177m. While market conditions have turned negative in October, HBMN’s portfolio of private investments (c 36% of the total) and a market hedge covering c 20% of the listed portfolio should help to limit NAV volatility if the sell-off is prolonged. Results have been buoyed by good clinical data and a number of successful IPOs from the private portfolio, and

HBM Healthcare Investments - Positive developments for private/public fund

HBM Healthcare Investments (HBMN) reported profits of CHF72m for the third quarter of its financial year, buoyed by the takeover of long-term holding Advanced Accelerator Applications (AAA). The Switzerland-based fund invests globally in public and private healthcare companies and private equity funds, and is working to build its private company exposure back up towards long-term average levels following a strong period of IPOs and trade sales. The managers take a risk-aware approach to what can

Potential for further outperformance

HBM Healthcare Investments (HBMN) is a Switzerland-listed closed-end fund investing in listed and private healthcare companies globally. In a volatile stock market environment, the fund has performed strongly in NAV total return terms, rising to the top of its peer group over one and three years. Factors behind the positive performance include strong exits/IPO values from private companies, premium takeovers of listed stocks, good clinical newsflow from some holdings and the lower volatility of

Healthcare specialist with public/private approach

HBM Healthcare Investments (HBMN) is a Swiss investment company that invests in healthcare companies globally. Its portfolio is spread across private companies, private equity funds and public holdings, many of which began in the private portfolio. After a buoyant IPO cycle it currently has a relatively low proportion invested in private companies (14% at 31 December versus an average since inception in 2001 of 35.6%), but this is set to rise, with $17.5m already committed to two new private inv

LIBERUM: Plus500: Strategic progress pays dividends

Tatton Asset Management (TAM LN) - Record net inflows

Tatton, the leading on-platform discretionary fund manager (DFM) and IFA support services Group has released a trading update ahead of its results to 31 March 2024, due on 18 June 2024.

Hardman & Co Insight: 2023 was an annus horribilis for Quoted UK Infrastructure and Renewable Energy

The focus of Hardman & Co Research is on the nine quoted Infrastructure Investment Companies (IICs) and on the 22 Renewable Energy Infrastructure Funds (REIFs): the stocks analysed are all members of the Association of Investment Companies (AIC). We are updating our publication of January 2023, assessing both the lacklustre share price performances during 2023 and the key issues, including interest rates, inflation and power prices. As a 31-strong group, its combined market capitalisation is no

Ondo InsurTech FY24 Trading Update

Ondo InsurTech has released a brief post-YE update revealing its good progress continued through 2H24 and consequently FY24 will be in line with market expectations.

BlackRock World Mining

BRWM’s managers: we see all the classic signs of high commodity prices...

NextEnergy Solar Fund - Attractive Refinancing

The refinancing of a £135m revolving credit facility and the extension of a similar £70m facility gives NESF firepower as development opportunities for new solar are especially attractive thanks to lower module prices in Europe. They give the fund key financial flexibility at a critical time as it pursues its capital recycling programme.

Morning Note – 18 April 2024

The Hardman & Co Monthly: April 2024

Feature article: Steady as she goes, but could be better: A review of investment company liquidity since 2016 Liquidity is the lifeblood of equity markets. The measurement of liquid asset availability to a market or company is a way of gauging a market’s health. This article builds on our previous work, which analysed the liquidity data for non-financial trading companies, by applying the same analytical techniques to the investment companies (IC) space. We analyse liquidity for ICs as a whol

Foxtons Group (FOXT LN) - 1Q24 IMS shows real momentum

Foxtons Group plc first quarter revenue rose 9% to £35.7m (1Q23: £32.9m) with growth delivered across all business segments. Trading is in line with management's expectations.

Initial Equity Trading Comments - 19 February 2024

M Winkworth+ (WINK, House Stock at 163p) - Solid FY23A results, well placed to grow

Foxtons Group - FY24 underpinned by market share gains

Foxtons Group’s Q1 revenue grew by 9%, supported by growth in all three divisions as the strategic initiatives continue to gain significant momentum, driven by investment in staff, best-in-class bespoke IT and data platforms. This implies that Foxtons’ medium-term targets are now coming into focus. Market share is being gained in all divisions, which puts Foxtons in a good position as the sales market stabilises. We maintain our valuation of 132p/share and believe that if interest rates stabilis

Resilient FY24, confident long-term outlook

Vp’s full year update highlights sector-leading results, once again benefiting from the diversity of its end markets and the quality of its specialist businesses. With results expected to be broadly in line with expectations, we trim our FY24 PBT forecast by c.5% to £39.0m, a shade below the FY23 outturn (£40.2m). We consider this an impressively resilient performance set against a mixed market backdrop. Under new leadership, a strategic refresh is underway and management is confident in long

Hybridan Small Cap Feast - 16/04/2024

16th April 2024 * A corporate client of Hybridan LLP ** Arranged by type of listing and date of announcement *** Alphabetically arranged **** Potential means Intention to Float (ITF) has been announced Dish of the day Admissions: Delistings: What’s baking in the oven? ** Potential**** Initial Public Offerings: Reverse Takeovers: Electric Guitar (ELEG.L) Concurrent with its Admission to trading on AIM, Electric Guitar is proposing to acquire the entire issued share capital of 3radical Limited for

AUM up 30% in FY24, record flows, forecasts raised

AUM jumped £3.8bn or +30% in FY24, reaching £16.6bn on 31 Mar 24, 12% above our previous forecast of £14.7bn. Including 50%-owned 8AM Global, Assets Under Influence hit £17.6bn. Investment performance provided a tailwind, adding £1.5bn to AUM. But our key takeaway from Tatton’s hugely impressive last few years, is that it has designed and implemented a superior offering in platform-MPS with net flows consistently far higher than peers. That leadership looks even more pronounced in H2-24 with net