Portfolio Analysis

SV Health Managers LLP was appointed Investment Manager of the Company on 1 January 2005 and Alternative Investment Fund Managers (‘AIFM’) on 21 July 2014. SV Health Managers LLP provides life sciences focused Investment Management services to publicly listed investment funds and venture capital funds.

As at 31 October 2017

Summary

IBT Portfolio NAV (m)£231
Number of Portfolio Companies90
Quoted Investments64
Unquoted Investments24

Investment Manager Comment

In October 2017, IBT’s NAV/share fell by 3.9% (GBP) while the NASDAQ Biotechnology Index was down 4.9% (GBP). The FTSE All-Share Index increased by 1.9% (GBP) and the S&P 500 Index rose 3.3% (GBP). IBT’s share price fell 0.8% (GBP). The USD strengthened by 0.9% vs the GBP.

 

The main positive contributors to NAV in October were Adamas, Stemline and Seattle Genetics. Adamas received a letter from FDA granting drug Gocovri Orphan Disease designation for the treatment of Levodopa Induced Dyskinesia (LID). There are no approved drugs to treat LID and the drug addresses a high unmet medical need amongst Parkinson’s patients. Stemline announced positive results from a clinical trial of their lead asset SL-401, developed for blastic plasmacytoid dendritic cell neoplasm (BPDCN), a type of leukemia. The drug has been granted “breakthrough therapy” and orphan drug status, the former meaning it can take an accelerated path through the remaining approval process. Seattle Genetics shares were strong on the back of the FDA awarding their lead asset Adcetris breakthrough therapy for first-line treatment, in combination with chemotherapy, for patients with advanced classic Hodgkin Lymphoma.

 

The main negative contributors to NAV in October were Celgene, Regeneron and Alexion. Celgene experienced two setbacks in October announcing disappointing results from their pipeline asset GED-301 in Crohn’s disease and weak 3Q earnings. Regeneron shares were weak on concerns for sales expectations for their newly launched asthma drug Dupixent. Alexion shares fell on disappointing sales of their lead asset Soliris and reduced full year sales guidance.

 

On 2 November International Biotechnology Trust’s full year results were published. It was proposed that the dividend be increased by 17.4% to 13.5p per share, for a decision by AGM on 12 December 2017.


Performance

 (NAV, Share Price Change, 5 years)

Source: Bloomberg, mid-mid (share price), quoted in sterling and SVLSM. Past performance is not a guide to future performance
Note: All performance data are quoted net of all costs to the Company.


Top Ten Investments by NAV %

 

Biogen7.3%
Celgene5.9%
Regeneron5.4%
Vertex4.2%
Exelixis3.6%
Adamas3.5%
Incyte3.3%
Gilead3.0%
Alexion3.0%
Acadia2.7%

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