UK Primary Opps found value in Woodford fire sale

Shares were already depressed

James Baxter-Derrington
clock • 2 min read
Oliver Brown of MFM

Oliver Brown of MFM

The liquidation process of the former Woodford Equity Income fund (now LF Equity Income) provided a perfect opening for MFM UK Primary Opportunities to take advantage of a “double discount” created by the wind-up of the once-£10bn portfolio.

Co-manager of the fund Oliver Brown told Investment Week that while the team typically looks to a fundraise or share issuance to buy into a company, there are occasions when opportunities arise to buy into firms "second-hand" via other investors, and the Woodford collapse was such an instance. "We bought some shares from the Woodford fund because we knew they were having liquidations," he said. "We knew that they had big shareholdings in specialist small- and mid-cap companies, so we bought in." Brown highlighted two purchases made available by the fire sale in the immediate aftermath...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on UK

Dan Green, portfolio manager at Martin Currie

Three sectors that will benefit from the digital economy

E-commerce, the auction industry and cybersecurity

Dan Green
clock 12 August 2022 • 3 min read
Mike Preston, partner at Cleary Gottlieb

Private equity in sport: A growing opportunity

Expected to grow to $500bn

Mike Preston
clock 11 August 2022 • 4 min read
Markus Hansen has been a portfolio manager for Vontobel's Quality Growth Boutique since June 2020.

Vontobel's Hansen drops Adidas for Hermès as a European recession looms

Shopping after growth derating

clock 10 August 2022 • 2 min read