Woodford to stand by 'poor investment' Capita

Reacts to share price drop

Neil Woodford has spoken out about holding outsourcing company Capita, one week on from the company seeing its shares plunge by almost half after issuing a profit warning.

The manager, who is the third largest shareholder of the company through positions in both his £7.7bn Woodford Equity Income and £690m Woodford Income Focus funds, commented on the developments in a blog post two days after the profit warning was issued. At the start of last week, Capita represented 0.8% and 1.3% of the respective funds. However, Woodford said he would not be selling his holdings in the company, which has suffered a string of profit warnings in recent years, with its share price dropping 45% last Wednesday, as he believes there is "a clear plan and project underway" t...