The objective is to achieve long term capital growth by investing in high growth, development stage biotechnology companies that are either quoted or unquoted. The company invests in companies that are considered to be good value with experienced management and strong potential upside through the development and/or commercialisation of a product, device or enabling technology.
Management fee payable monthly at the rate of 0.9% p.a. of the NAV. The performance fee on the unquoted pool is 20% of net realised gain performance fee on the quoted pool is 10% of relative outperformance above the sterling-adjusted NBI plus a 0.5% hurdle. Investment Management Agreement is terminable by either party on 12 months written notice.
The Board introduces an annual dividend, equals to 4% of the last day NAV of the financial year. Dividends are paid to shareholders semi-annually on January and August each year. Paying the dividend out of capital returns gives the shareholders a differentiated source of income from most other income generating investments, that is not affected by fluctuations in yield from the portfolio companies.