RTW Venture Fund to hold London IPO later this month

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Updated: 15 October 2019
  • Company managed by RTW Investments LP plans $350m float on Specialist Fund segment.
  • Investment fund focused on creating a diverse portfolio in biopharma and medical tech industry.
  • Currently has a net asset value of $145.5m, six seed assets worth $54.6m.
  • Saudi Aramco says its IPO will “take place sooner thank you think” on Monday.

RTW Venture Fund Ltd confirmed plans to list on the London Main Market on Monday as it moves a step closer to finalising the details for a $350m IPO, which is set to take place before the end of October.

RTW Venture Fund is managed by New York-based RTW Investments LP, a privately held firm focused on biopharma advancements.

The company said in a statement on Monday that it will use the funds raised to target further investments in potentially transformative enterprises in life sciences and medical technology.

Exact pricing and details of the floatation have not yet been disclosed, but further information is set to be revealed on Friday 25th October with admission to the London Stock Exchange to follow a few days later (30th October).

RTW Venture Fund has quickly built a solid investment portfolio with six seed assets worth $54.6m in value and it has its sights on two more investment opportunities, which could be closed in the near term.

A recent private placement involving 92 investors raised $118m for the fund, and as of the 9th October, its net asset value amounted to $145.5m.

“I am delighted to be chairing this new fund that aims to support the growth of world-class biotech and medtech companies,” Chairman William Simpson said in a statement on Monday.

“Our investment manager, RTW Investments, is a leading US-based healthcare investment firm, with a strong track record of backing innovative therapeutic assets.”

Simpson added that the investments team at RTW would implement its “science-driven approach” and laser focus on long-term value to benefit both patients and investors during the coming months and years.

In other IPO news, Saudi Arabian energy giant Aramco said its hotly anticipated IPO would arrive sooner than investors and analysts expect with chairman Yasir al-Rumayyan revealing that an official announcement is likely “very, very soon.”

Aramco has already confirmed that a 5% stake in the state-owned company will be put up for sale sometime in 2020 or 2021 in what is expected to be perhaps the biggest share sale of all time.

Bloomberg reported on Monday that the company’s board would convene later this week when it is expected to rubber-stamp the finer details of the float.

Aramco has pushed back IPO plans on several occasions after initially targeting a 2018 window for the deal, but concerns about legal scrutiny of balance sheets and valuations have resulted in delays.

Back in September, Aramco made the unprecedented move of reporting financial returns as it posted $46.9bn in net income for H1 2019, a figure that dwarfs the biggest corps currently listed in the US such as Apple (NASDAQ:AAPL).