Provexis reassures investors after sell-off
A DUTCH investment company has sold off a large chunk of its shares in the biotech business Provexis.
DSM Venturing, one of Provexis’s major shareholders, disposed of 14% of its holding, or 33 million shares, on Monday when they were worth around 5p each. It now holds 18% of the company.
Provexis has its headquarters in Windsor but operates its research and development base in Liverpool. Its main product is Fruitflow, a tomato-based drink that thins the blood and helps circulation.
Today the group sought to reassure shareholders saying the sale was, “in line with DSM’s prudent investment policy and does not detract from their long-term stated commitment as a strategic investor in Provexis.”
In February Provexis said it had agreed a “letter of intent” with DSM Nutritional Products which could lead to a deal to develop, market and sell Fruitflow throughout the world.
DSM Venturing and DSM Nutritional Products are part of the same group but the share sell-off will have no bearing on these negotiations, said Provexis.
“The directors are happy to confirm to shareholders that discussions between Provexis and DSM Nutritional Products in relation to a long-term alliance for the commercialisation of Fruitflow and other emerging technologies are on track and in line with the letter of intent announced on February 12,” the company said.
DSM Venturing is an investor in emerging companies while DSM Nutritional Products supplies vitamins, carotenoids and other fine chemicals to the food, pharmaceutical and personal care industries.
