SHARES in biosciences group Bionomics could be worth watching in the next couple of weeks after Bell Potter on Friday put away the overhanging balance of venture capital fund Start-Up Australia’s holding.
Start-Up began reducing its 28 per cent stake last year, after unsuccessfully offering it in a tender, and was down to less than 4 per cent when the 13.2 million shares traded at 35 cents each — a discount to the 39 cents closing price of Bionomics.
Insider hears that buyers of the stock may have included some UK institutions, along with local supporters.
Bionomics’ shares were belted at the beginning of the year because the market took it poorly that the company’s deal on its anti-anxiety compound BNC210 with US group Ironwood Pharmaceuticals did not include an up-front payment.
Backers reckon that is just short-sighted, because it is in line for $345 million of milestone payments from Ironwood as the drug moves through development phases — plus potential royalty payments of 15 per cent or more on what could be $2 billion in sales.
