Shares of IP Group (LON: IPO) are climbing after its portfolio company Oxford Nanopore Technologies has confirmed its intention to proceed with an initial public offering (IPO) as well as the signing of an MoU and investment agreement with Oracle.
Oxford Nanopore is developed nanopore-based sensing technology, which enables real-time, scalable analysis of DNA and RNA.
The company intends to apply for a listing on the London Stock Exchange's main market.
IP Group was a founding shareholder in Oxford Nanopore and has a 14.4% stake in the firm, valued at £359 million. The IPO is expected to raise proceeds of £300 million.
In addition, Oxford Nanopore has also entered into an MoU with Oracle, where the two companies will explore several potential new solutions to address opportunities in the applied and clinical markets and related go-to-market strategies.
They also entered into an investment agreement with a vehicle controlled by Oracle to subscribe for £150 million.
Alan Aubrey, CEO of IP Group, said: “IP Group has been with Oxford Nanopore from day one and has actively supported the company in a number of ways since then in addition to providing capital. We are delighted to see Oxford Nanopore take the next steps on its journey.”
IP Group shares are currently up 2.78% at 140.4p.
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