Net Asset Value
This announcement is made further to the publication earlier
today of our Half-year Report to 30th June
2018.
In our Report, Net Asset value as at 25th
September 2018 was shown as £26.1
million, equivalent to 65 pence per
share (prior charges deducted at par) and 75
pence per share on a fully diluted basis. This was based on
the closing market price on 24th September for our
largest investment, Geron Corporation, of $6.38 per share.
Since the publication of our Report earlier today, Geron
Corporation has unexpectedly announced the discontinuation of its
collaboration agreement with Janssen Biotech Inc (a unit of Johnson
& Johnson) for the development of Geron’s oncology drug,
Imetelstat, currently in clinical trials for two hematologic
(blood) cancer indications, Myelofibrosis (MF) and
Myelodysplastic Syndrome (MDS) . Janssen’s decision follows a
strategic review and prioritisation of assets within its portfolio.
Geron now regains full ownership of all rights and
clinical trial data to Imetelstat previously assigned to
Janssen.
As noted in our Report, the share price of Geron has increased
substantially in recent months in reaction to positive developments
in its clinical trials and in anticipation of a positive decision
by Janssen to continue its collaboration with Geron, which had been
accelerated to the end of the third quarter. As a result of
today’s decision by Janssen not to continue the collaboration with
Geron, the Geron share price is likely to fall substantially and
this is likely to have a material impact on our previously
announced net asset value.