Monthly Valuation Update, Factsheet & Q2 Letter

RTW Biotech Opportunities Ltd

17 July 2023

 

LEI: 549300Q7EXQQH6KF7Z84

17 July 2023

RTW Biotech Opportunities Ltd

Monthly Valuation Update, June Factsheet & Second Quarter Letter

-2.4% NAV movement for the month

RTW Biotech Opportunities Ltd (the "Company") announces that the unaudited net asset value attributable to the ordinary shares of the Company at the close of business on 30 June 2023 (the "NAV") was US$356.5 million, or US$1.68 per ordinary share, -2.4% from the previous month.

The monthly factsheet and quarterly letter are available on the Company's website: https://www.rtwfunds.com/rtw-biotech-opportunities-ltd/factsheets-letters/

Developments in the quarter:

§ The Company changed its name to RTW Biotech Opportunities Ltd to better place it amongst its biotech and healthcare peer group and more accurately reflect its full life cycle approach to investing.

§ The Company announced a capital allocation plan including a share buyback after the closing of Merck's acquisition of Prometheus.

§ Total proceeds from the sale of Prometheus shares amounted to $99.1m on total invested capital of $8.4m, representing an 11.8x multiple.

§ Pharma went shopping in the first half.  Total deal value of $93bn puts M&A activity on track to be the highest since 2019. We think deals will continue apace despite FTC challenges.

§ Despite the strong pickup in M&A, the biotech recovery in the first half has been anaemic with the Russell 2000 Biotech Index returning only +5.32% YTD as the AI-driven growth narrative in large cap technology bested other growth sectors capturing a majority of capital flows.  

§ Our private investment activity has been picking up this year versus last with the addition of Abdera Therapeutics in the quarter.

§ Two portfolio companies went public in Q2: Acelyrin and Tourmaline Bio. Both are late-stage immunology companies, a focus area for the firm.

§ So far this year, all go-public events in the portfolio (four in total at quarter end) have happened at healthy premiums to our prior private holding values.

For Further Information:

RTW Investments, LP	[phone]
Woody Stileman, Managing Director Krisha McCune, Director, Client Service
Buchanan	[phone]
Charles Ryland
Henry Wilson
George Beale
Numis	[phone]
Freddie Barnfield
Nathan Brown
Euan Brown
BofA Securities	[phone]
Edward Peel
Kieran Millar
Cadarn Capital	[phone]
David Harris
Elysium Fund Management Limited Joanna Duquemin Nicolle, Chief Executive Officer Sadie Morrison, Managing Director	[phone]
Morgan Stanley Fund Services USA LLC	[phone]

About Biotech Opportunities Ltd:

RTW Biotech Opportunities Ltd (LSE: RTW & RTWG) is an investment fund focused on identifying transformative assets with high growth potential across the biopharmaceutical and medical technology sectors. Driven by a long-term approach to support innovative businesses, RTW Biotech Opportunities Ltd invests in companies developing next-generation therapies and technologies that can significantly improve patients' lives. RTW Biotech Opportunities Ltd is managed by RTW Investments, LP, a leading healthcare-focused entrepreneurial investment firm with deep scientific expertise and a strong track record of supporting companies developing life-changing therapies.

Visit the RTW website at www.rtwfunds.com for more information.

 

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