Convatec slumps on Novo Holdings exit

(Sharecast News) - Convatec slumped on Tuesday after Novo Holdings - which had been its largest shareholder - exited its position in the medical technology firm via a placing of 155m shares. The shares, which represent a stake of about 7.8%, were sold to institutional investors at 227p each, raising gross proceeds of approximately £351m.

Goldman Sachs and Morgan Stanley acted as joint global coordinators in connection with the offering.

Novo Holdings, a holding and investment company responsible for managing the assets and the wealth of the Novo Nordisk Foundation, said it had monetised all other previously held shares ahead of the placing via derivative transactions with hedge counterparties.

At 0805 GMT, Convatec shares were down 3.2% at 231.60p.